Publish date:

European Closing Update: Germany Odd One Out as Europe Closes Up

U.K. equities enjoy broad-based rally.
Author:

LONDON -- U.K. technology, media and telecom stocks may well have been expected to lead the charge higher Monday following the Nasdaq's surge on Friday, but while several did feature at the top of the

FTSE 100

leader board, that didn't tell the whole story of what was a pretty impressive day for London's equity market.

By the end of the session, the FTSE 100 was up a healthy 76 points at 6,286 after a broad-based rally, but the

Techmark 100

looked a relative laggard, as it posted a gain of just 31 points to 3,447.

The tech and telecom leaders included fiber-optic company

Bookham Technology

(BKHM)

, which topped the leader board as it closed up 233p, or 10.1%, at

24.41 ($35.39).

Chip designers also performed well even though

Intel

(INTC) - Get Report

was being punished in U.S. markets by broker downgrades.

ARM Holdings

(ARMHY)

added 42p, or 6.3%, and

ARC International

rose 16.5p, or 5.1%, to 337.5p.

Alternative carriers

Energis

(ENGSY)

and

Colt Telecom

(COLTY)

were also among the top performers. Energis added 22.5p, or 5.3%, to 444.5, while Colt finished 100p, or 5.5%, firmer at

19.05.

Vodafone

(VOD) - Get Report

ended up 5p, or 1.9%, at 262.75.

Yet that was only half the story. The broad rally in the U.K. included the retail and bank sectors.

Tesco

, the U.K.'s largest supermarket chain, rose to an all-time high of 261.75p after an upgrade from

Deutsche Bank

before settling up 10.75p, or 4.3%, at 259.5.

HSBC

(HBC)

showed the way in the banking sector as it rose 37p, or 4%, to 971p.

Prudential plc's

TheStreet Recommends

(PUK) - Get Report

online bank

Egg

closed 4.5p, or 3.6%, firmer at 130.5p as it reported growth in customers but, alas, also higher losses for the third quarter.

Considering today's action,

J.P. Morgan

issued a timely research report. The bank argued that it felt the U.K. market would post a strong rise in the fourth quarter, but that it would not necessarily be driven by the technology, media, telecoms and electronics bloc. In short, J.P. Morgan pointed out that the market could still rise, as it has over the last 12 monhs, even if the TMT&E sector remains stagnant or heads lower.

Europe's other stock markets closed out Monday on a mixed note. The

CAC 40

in Paris closed up 23.8, or 0.4%, at 6,088.0 but the

Xetra Dax

in Frankfurt was off 61.9, or 0.9%, at 6,599.3 late in the German trading day. The Neuer Markt's tech-heavy

Nemax 50

index was 58.1 lower, or 1.3%, at 4,304.7.

Big telecoms had a good day across the Continent, however, as

Deutsche Telekom

(DT) - Get Report

climbed 0.91 euros, or 2.4%, to 38.50 ($32.96),

France Telecom

(FTE)

closed up 1 euro, or 1%, at 102 and

KPN

(KPN)

rose 0.47 euros, or 2.2%, to 21.99.

Equipment makers also did well.

Alcatel

(ALA)

rose 1.75 euros, or 2.3%, to 77.05 and

Nokia

(NOK) - Get Report

surged 2.43 euros, or 6.7%, to 38.65 after being sold heavily last week.

German technology shares remained under pressure despite the Nasdaq's rally Friday.

Siemens

(SMWAY)

was down 5.19 euros, or 3.5%, at 143.80,

Infineon

(IFX)

was 2.35 euros lower, or 4.5%, at 49.60 and software maker

SAP

(SAP) - Get Report

was near unchanged at 246.35 euros.