By Carla Mozee, MarketWatch
Germany rejects Greece's loan-extension request
LONDON (MarketWatch) -- European stocks finished higher
Thursday, but spent much of the session swinging between gains and
losses amid the latest twists in Greece's debt drama.
The Stoxx Europe 600 closed up 0.3% at 381.41. The index had
fallen after Germany said Greece's request for a six-month loan
extension doesn't represent "a substantial proposal for a
solution."
:(http://www.marketwatch.com/story/cracks-still-evident-as-germany-rebuffs-greek-extension-plan-2015-02-19)
Greece has been making a distinction between a loan agreement
and the 240-billion-euro ($273 billion) bailout program, which is
set to end later this month. Germany argued the Greek request
doesn't meet the bailout requirements and said the proposal only
aims at getting bridging financing.
The Stoxx 600 early Thursday had been down by as much as 0.8%,
but turned higher after Greece submitted the loan
request:(http://www.marketwatch.com/story/greece-hands-in-formal-request-for-extension-to-loan-deal-2015-02-19),
even as it made clear it wouldn't accept all the strict austerity
measures required under its bailout program. Eurozone finance
ministers, known as the Eurogroup, were expected to review the
proposal on Friday.
Greece's Athex Composite also seesawed throughout the session,
but finished up 1.1% at 856.50. Greek banking stocks held to gains,
with National Bank of Greece SA tacking on 7.1% and Alpha Bank AE
climbing 6.4%. Piraeus Bank SA moved 4.5% higher and Eurobank
Ergasias SA gained 2.6%.
Also read: "Germany's gone too
far":(http://www.marketwatch.com/story/germanys-rejection-of-greek-debt-plan-draws-quick-twitter-reaction-2015-02-19)
The euro (EURUSD) fell to $1.1389 from late Wednesday's level of
$1.1398. It was largely unchanged after the release of minutes from
the European Central Bank's policy
meeting:(http://www.marketwatch.com/story/ecb-minutes-show-low-inflation-prompted-higher-qe-2015-02-19)
last month. The minutes showed concerns about persistent low
inflation prompted officials to approve a larger-than-expected
bond-purchase plan.
Energy stocks: The Stoxx 600 oil and gas group remainded down
2%, even as crude-oil futures (CLH5) pared losses after the U.S.
Energy Information Administration reported an increase of 7.7
million in weekly crude
supplies:(http://www.marketwatch.com/story/oil-pares-loss-as-eia-report-not-as-bad-as-expected-2015-02-19).
Oil prices had slid below $50 a barrel after data released late
Wednesday by the American Petroleum Institute showed supplies
jumped 14.3 million barrels, outstripping an increase of 3.1
million expected in a Platts poll of analysts.
Among energy plays, exploration and production company Premier
Oil PLC fell 4.9%, Norway's Statoil ASA lost 3.3% and Norwegian
seabed-to-surface engineering contractor Subsea 7 SA dropped
3.8%.
Shares of oil producer Tullow Oil PLC lost 2.7%, a move that
helped push down the U.K.'s FTSE 100 . It slipped 0.1% to
6,888.90:(http://www.marketwatch.com/story/centrica-bae-systems-shares-in-the-red-in-london-trade-2015-02-19).
Centrica PLC shares skidded 8.5%, also pulling down the benchmark,
after a downbeat financial update from the parent company of
British Gas.
Among other major national benchmarks, Germany's DAX (DAX) added
0.4% to close at a record 11,001.94. France's CAC rose 0.7% to
4,833.28.
Movers: Adidas AG shares jumped 5% as the German athleticwear
maker said it has begun searching for a successor to Chief
Executive Herbert
Hainer:(http://www.marketwatch.com/story/adidas-searches-for-new-ceo-amid-investor-pressure-2015-02-19).
Hainer has served as CEO since 2001.
Air France-KLM SA shares fell 5% after Europe's largest carrier
said it will scale back its investment plans by EUR600 million
($680 million) over the next two years.
Rexam PLC shares gained 6.1% after the company agreed to be
acquired by rival U.S. drinks-can maker Ball Corp. (BLL) in a deal
that values the British company at GBP4.4 billion ($6.8
billion).
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