UpdateEurope chem stocks mixed in market swing

30 September 2008 17:00  [Source: ICIS news]

(Recasts lead, updates and adds detail throughout)

LONDON (ICIS news)--Chemicals stocks were mixed in Europe as the markets drew to a close after rebounding on Tuesday.

At 14:52 GMT, shares in UK oil major BP were up 0.21% on the previous close at 468 pence, after falling 1.61% during earlier trading.  

Oil and chemicals firm Shell's shares rose 0.89% to 1,588 pence after falling 2.16% earlier in the day.

At the same time, UK chemicals firm Johnson Matthey’s stock was 0.66% lower than the previous close at 1,345 pence, a slight recovery after dropping 1.26% in early morning trading.

The FTSE 100 index of UK listed companies rose 1.58% to 4,894.79 after slumping 2.3% in early trading to 4705.5, its lowest point since December 2004.

The Dow Jones Eurostoxx 50 index also recovered as the market drew to a close. #

At 14:53 GMT it was 0.56% up on Monday’s close at 3,025.06, after falling 0.43% in early trading.  

Shares in German chemicals major BASF rose 0.24% to €33.72, after falling 1.01% earlier in the day. French oil major Total's shares were up 1.73% at €42.41, after falling 0.65% in morning trading.

Pharmaceuticals and chemicals firm Bayer’s shares extended its losses to 1.11% at €51.65, while French industrial gases company Air Liquide posted losses of 1.37% to €76.93.

President George Bush on Tuesday renewed his appeal for congressional approval of a $700bn (€483bn) financial sector bailout bill, saying that “Congress must act” to deal with what he termed a critical moment in the US economy.

Citing Monday's 778-point decline in the Dow Jones Industrial Average index that followed the House bailout rejection, Bush said the losses are having a dire impact on the retirement savings of millions of Americans and the savings of family households.

The Dow Jones index rose 200 points as the US markets opened, defying doomsday speculations.

At 15:33 GMT, the index was up 2.43% on Monday’s close at 10,617.53.

The list of casualties from the global financial crisis continued to grow, with the government-orchestrated sale of Wachovia Group, the sixth largest bank in the US, to Citigroup following last Friday's fire sale of Washington Mutual.

European financial institutions were also reeling from the US crisis, with the part-nationalisation of UK mortgage lender Bradford & Bingley and Belgian-Dutch financial institution Fortis on Monday.

The US bailout plan had been hastily crafted over the weekend following the crisis, which led to the collapse of Lehman Brothers, the takeover of Merrill Lynch by Bank of America and the $85bn rescue of American International Group in just a week.

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By: Hilde Ovrebekk
+44 20 8652 3214

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