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Updated from 5:11 a.m. EST



) -- Japanese shares rebounded Friday on a report that factory output in Japan rose in January while European shares rose after fourth-quarter gross domestic product in the U.K. was revised upward to 0.3%.

In Tokyo, the Nikkei 225 stock average rose 0.2% to 10,126.03, following three down days, as factory output rose 2.5% in January for the 11th-straight month. Shares of


(TM) - Get Free Report

, which is in the news everyday because of the recall of millions of its vehicles, rose 1.8%.

The Shanghai Composite Index in China fell 0.3%, while stocks in Hong Kong finished higher by 1%.

European shares were higher with stocks in London gaining about 1% after the GDP report. Shares in Frankfurt and Paris rose 0.9% and 1.1%, respectively.

Shares of U.K. bank


(LYG) - Get Free Report

were lower after it reported a

2009 loss on impairment charges

. The bank, however, said the impairments for bad loans were easing.

Premarket futures suggested stocks in the U.S. would rise at the open Friday after finishing lower on Thursday.

-- Reported by Joseph Woelfel in New York.

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