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* STOXX 600 rises, but still down around 8 pct in 2016
By Sudip Kar-Gupta
LONDON, Oct 14 European shares rose on Friday to
claw back ground lost in the previous session, with mining and
telecoms stocks outperforming, while hedge fund Man Group also
The pan-European STOXX 600 index rose 0.8 percent.
The index remains down by around 8 percent so far in 2016,
but Clairinvest fund manager Ion-Marc Valahu backed having a
"long" position to bet on more gains for European stocks.
He cited expectations that Deutsche Bank would
reach a settlement with U.S. authorities over alleged
mis-selling of mortgage backed securities as one reason for
Deutsche Bank shares were up 2.3 percent, and Valahu also
cited expectations that Italy would fix problems with its
struggling banks as a further reason to stay upbeat on European
"You should stay 'long' on European equities. I expect
positive resolutions on Deutsche Bank and Italian banks," he
Mining stocks outperformed after a batch of solid economic
data from China, the top global consumer of metals and the
world's second-biggest economy.
Data showed that China's producer prices unexpectedly rose
in September for the first time in nearly five years, while
consumer inflation quickened to 1.9 percent from a year earlier,
also beating market expectations.
Shares in French telecoms group SFR climbed 5.1
percent after rival Altice acquired another 5 percent
stake in SFR, with the broader STOXX Europe 600 telecoms index
advancing by 0.9 percent.
Shares in British hedge fund Man Group jumped by
more than 10 percent after the company reported a rise in assets
under management, and announced a share buyback and the
acquisition of investment management company Aalto.
"Overall, we think is an encouraging release, and reiterate
our 'Buy'," said Bank of America Merrill Lynch analyst Philip
Middleton in a research note.
(Editing by Kevin Liffey)