LONDON Jan 23 European shares continued to
trade in a tight range as the FTSEurofirst 300 index lingered
around 22-month highs, with some good earnings results helping
lift the index early on Wednesday.
By 0804 GMT, Europe's top shares rose 1.34 points,
or 0.1 percent, to 1,166.83, taking their cue from a late rally
overnight on Wall Street and helped by reassuring
earnings from likes of tech firms Google and IBM
In Europe, Novartis was the top gainer, up 2.7
percent, after saying it expects sales to grow in the mid-single
digits from 2014.
The FTSEurofirst, however, has traded in little more than a
10-point range since Jan 3, while the Germany's DAX and
the euro zone's blue chip Euro STOXX 50 index have
been stuck in a 40-point range.
"Currently in the short-term we are in a trend confirming
consolidation. Eventually this will dissolve upwards and by the
end of the year we expect indexes to test fresh highs," Thorsten
Grisse, technical analyst at Commerzbank, said.
For the DAX that means highs last seen back in 2008, which
are about 4 percent away, but Grisse said the Euro STOXX 50 will
struggle to see 2010 highs, pegged by its weighting towards the
region's indebted banks and their exposure to the zone's debt
"The tops are more durable now and for sure 2013 will not be
as good a year as 2012," he said.