Utilities were the main feature of an otherwise trendless session for Frankfurt where the leading indices were little changed in weak volumes.
The official go-ahead for their merger and news of an acceptable compromise between the industry and government on the rundown of nuclear power in Germany sent power utilities ahead from the opening bell. There was some profit-taking later in the session but even so momentum was enough to lift Viag 99 cents to €22.31 and Veba €2.03 to €55.80. RWE improved 12 cents at €40.22.
SAP stayed firm amid broad broker enthusiasm for the group's recent deal news, but in general, the technology sectors were subdued.
SAP gained €11.30 at €627.80 for a two-day advance of 9.4 per cent. Siemens fell €1.89 to €162.10 and Epcos lost €8.09 at €140.70.
The Xetra DAX index was up 10.29 at 7,340.65 at 5.30 p.m. German time.
Paris closed on a low note as stronger-than-expected US data reversed the market's upward trend in the middle of the session. The CAC-40 index lost 95.12 or 1.4 per cent to 6,512.98.
Vivendi, fifth-biggest constituent of the CAC, started the day up but soon fell back to close 4.9 per cent lower at €98.45 as investors continued to worry about the sheer ambition of its proposed merger with Canada's Seagram.
"People are divided over whether this is a knock-out blow by Vivendi or the creation of an entity too complex to manage," an analyst said. Canal Plus, another partner in the deal, fell 1.5 per cent to €201.50.
The best CAC performers were mostly old economy shares, led by food group Danone, which rose 3.7 per cent to €137.90.
Industrial gas company Air Liquide gained 2.1 per cent to €131 in a technical rally as the company is offering one new share for free for every 10 held.
Stockholm closed lower as bourse newcomer Telia fell below its IPO price for the first time. The general index lost 1.7 per cent to 5,828.15.
Amsterdam ended modestly higher helped by a strong run for insurance giant Aegon, which shot up by 8 per cent in robust volumes.
The financial sector as a whole was heavily traded, but Aegon was the main market talking point as the stock climbed €3.04 to €41.16 in 11 million shares traded.
The AEX index finished up 2.23 at 685.51.
