• European stocks rose for a second day

Market news

13 January 2014

European stocks rose for a second day

European stocks rose for a second day, after the Stoxx Europe 600 Index posted its first full-weekly gain of 2014, as global regulators diluted a debt-limit plan for banks. U.S. futures declined, while Asian shares rose.

A gauge of bank stocks climbed after the Basel Committee on Banking Supervision’s announcement on capital requirements.

Global regulators meeting yesterday in Basel, Switzerland, adjusted a proposed debt limit, known as a leverage ratio, after analyzing bank data amid warnings that the original plan would penalize low-risk financial activities and restrict lending.

UBS climbed 2.8 percent to 18.70 Swiss francs. Ermotti refuted a report by Mediobanca SA analysts last week that Switzerland’s biggest lender may dispose of the investment-banking business as higher capital requirements from regulators thwart efforts to boost returns.

Suedzucker AG jumped 6.7 percent to 20.70 euros after reiterating its full-year forecasts. The maker of sugar, starch and bakery additives predicted revenue for 2014 of about 7.6 billion euros ($10.4 billion) and operating profit of about 650 million euros.

Alcatel-Lucent SA advanced 5 percent to 3.27 euros. The French network-equipment maker is in talks to sell its enterprise business to potential buyers including Unify GmbH & Co. KG, a Gores Group LLC and Siemens AG venture, according to three people familiar with the matter.

Icap retreated 1.6 percent to 449.5 pence after Goldman Sachs cut its rating on the shares to sell from neutral, citing weak transaction volumes.

FTSE 100 6,738.68 -1.26 -0.02%

CAC 40 4,257.64 +7.04 +0.17%

DAX 9,494.37 +21.13 +0.22%

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