European shares rose early today as investors took refuge in defensive stocks amid credit and economic worries that dragged down financial and mining stocks.
By 10.26am, the pan-European FTSEurofirst 300 index was up 0.47 per cent at 1,450.05 points in seesaw trading, having risen as much as 0.8 per cent and fallen as much as 0.3 per cent.
Bucking the trend in an otherwise bleak financial sector, French bank Natixis jumped more than 12 per cent after its two controlling shareholders said they would buy out its bond insurer CIFG.
The benchmark index has fallen more than 11 per cent since hitting a record high in July, as a credit crisis stemming from problems in the US housing market took its toll.
Yesterday, the index recorded its worst daily slide since August 16th, just before the US Federal Reserve cut its lending rate for banks to unfreeze the credit markets.