STOCKS NEWS EUROPE-Antofagasta higher; Citi upgrades

Shares in Antofagasta (ANTO.L) gain 1.6 percent, leading rallying blue chip miners higher as Citigroup ups its rating to "buy" for "hold" for the Chilean copper firm in a review looking at laggards in the sector.

Citigroup also hikes its rating for mid cap metals firm Ferrexpo (FXPO.L) to "buy" from "hold", with its shares up 2.2 percent, and makes the same move for Norwegian aluminium group Norsk Hydro (NHY.OL), which is up 1.5 percent.

The broker points out that base metals have outperformed in the year-to-date and it expects more gradual price rises over the next year, with the transition to OECD recovery the key challenge.

"We now take a short term preference for the bulks and also turn more positive on aluminium following recent underperformance. Copper, platinum and coking coal remain our preferred structural plays," Citigroup says.

Reuters Messaging rm://jon.hopkins.reuters.com@reuters.net