Mixed week for equities

European stocks rose for a third day, led by ABN Amro Holding NV, after Royal Bank of Scotland Group plc sweetened its €71.1 billion offer for the Dutch lender, seeking to trump Barclays plc. Asian stocks fell, dragging a regional benchmark from a record, as a slide in technology shares countered gains in energy-related companies.

On Tuesday, European equity markets lost ground as investors worried about key US economic figures. European equity markets sank on Wednesday after sub-prime concerns resurfaced following the announcement by Bear Stearns that two of its hedge funds, both backed by sub-prime loans, were "virtually worthless".

On Thursday morning, European bourses snapped a two-day losing streak, buoyed by upbeat earnings updates and a surge in merger activity. Sharp rises in the shares of steelmakers, consumer finance companies and other sectors more than made up for further declines in property stocks, pushing the Japanese market moderately higher.

European equities were flat on Friday as losses for technology and telecoms stocks offset gains in the mining and power sectors. London and Japan finished in positive territory as miners continued to rally on firmer base metal prices and after US indices climbed to record highs overnight.

This article was compiled by Valletta Fund Management Limited, a member of the BOV Group. Valletta Fund Management, The Mall Offices, Level 6, The Mall, Floriana VLT 16. Freephone: 8007-2344. E-mail: infovfm@vfm.com.mt. Website: www.vfm.com.mt. VFM is licensed by the MFSA.