LONDON -- Monday morning, telecom and technology stocks bolstered European markets, which were being weighed down by a slide in oils.

In London, the

FTSE 100

traded 87 points higher to 6292.90 -- a shade above technical resistance at the 6280 level. The recently volatile

Techmark 100

, buoyed by Friday's sparkling performance from the

Nasdaq Composite

, moved 124 points higher to 3770.

Oil stocks took a pounding after the crude price fell following

President Clinton's

order to release crude stockpiles. Although the amount of oil is relatively small, the move is significant. It knocked

BP

(BPA)

down 6.5p to 602 and

Shell

(SC) - Get Report

off 13.5p to 554.

On the positive side,

British Telecom

(BTY)

was higher this morning on reports it is near to deciding a date to float off its mobile arm, which will be sooner than expected. If the reports are true, it would free up much-needed cash. The shares are up 18p at 753. This enthusiasm has spread to other telcos.

Vodafone

(VOD) - Get Report

rallied an impressive 9.5p to 245.5 and

Colt Telecom

(COLT)

rose 105p to

19.90.

Tech stocks, in particular chip-related issues, rebounded from Friday's losses following

Intel's

(INTC) - Get Report

revenue warning.

ARM Holdings

(ARMHY)

climbed 55p to 755 and

Arc International

gained 11p to 411. This is partly due to reason returning to the markets as investors realize that these companies design chips predominantly for mobile phones, unlike Intel, which makes chips for PCs.

The recent mergers in the financial sector are inevitably throwing up the question of who's next.

HSBC

(HBC)

was up 28p to 957, echoing last night's

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storming performance on the

Hang Seng

. Speculation of a tie-up with

Merrill Lynch

(MER)

noted in the

Financial Times

gave the stock a further boost.

On the Continent, the

CAC-40

in Paris rose 59.96 to 6318.54 and the

Xetra Dax

in Frankfurt gained 63.59 to 6803.84. The

Neuer Markt's

tech-heavy

Nemax 50

index surged 210.2 higher, or 4%, to 5431.9.

With most of the broader market lower, the Dax was being held in positive territory by strong gains from its few big tech and telecom issues.

Siemens

picked up 5.24 euros to 157.74 ($138.81),

Infineon

(IFX)

rose 1.55 euros to 57.35 and software maker

SAP

(SAP) - Get Report

was 7.90 euros higher to 268.50.

Utility

RWE

dipped 0.93 euro to 38.90 amid news it plans to acquire the U.K.'s

Thames Water

, but that loss was easily offset by

Deutsche Telekom

(DT) - Get Report

gaining 1.96 euros to 40.61.

Elsewhere in Europe, telecom shares also were powering ahead, with

France Telecom

(FTE)

up 5.20 euros to 120.20 and

KPN

(KPN)

up 1.00 euro to 25.80.