* FTSEurofirst 300 gains for fourth straight day
* Results lift ABB, Capgemini, BAE Systems, Swiss Re
* Daimler scraps dividend after 2009 loss, shares sag
By Dominic Lau
LONDON, Feb 18 (Reuters) - European shares rose for the
fourth consecutive day on Thursday as generally positive
earnings reports lifted sentiment, although automaker Daimler
<DAIGn.DE> took a beating after scrapping its dividend.
Swiss engineering group ABB <ABBN.VX> soared 7.6 percent
after fourth-quarter results, while Capgemini <CAPP.PA>,
Europe's largest computer consultancy, rose 6.2 percent after
reporting profits ahead of forecasts.
The FTSEurofirst 300 <> index of leading European
shares closed 0.7 percent higher at 1,021.66 points, hitting a
two-week closing high for the second day and after gaining 2.8
percent in the previous three sessions, despite the continuing
sovereign debt crisis in Greece.
"The threat in Greece will be resolved one way or another,"
said Nick Nelson, European equity strategist at UBS in London.
"We think the earnings cycle is obviously recovering
strongly, so ultimately over a six-month view, a 12-month view
the market will look at the earnings, that's what drives the
market."
Stronger U.S. forward economic indicators, including factory
activity in the Mid-Atlantic region and the Conference Board
survey, countered a rise in the number of U.S. workers filing
new applications for unemployment insurance last week.
Among other companies that were boosted by earnings, French
company Schneider Electric <SCHN.PA> added 3.9 percent and BAE
Systems <BAES.L>, Europe's biggest military contractor, advanced
4.3 percent.
Swiss Re <RUKN.VX> rose 2.8 percent after the insurer swung
to a 2009 net profit and strengthened its capital position.
"There's been some good bottom-up newsflow. If you look at
the earnings, at the margin, they've been pretty good," said
Georgina Taylor, equity strategist at Legal & General Investment
Management.
"People have put the macro headlines to one side. There's a
bit of macro fatigue in the market. Investors took risk rapidly
off the table early in the year so there's room for a bit of a
short-term bounce," she said.
Carmakers, however, fell, with Daimler shedding 4.7 percent
after saying it would skip a dividend for 2009 results after it
posted a 1.51 billion euro ($2 billion) loss before interest and
tax. []
Within the auto sector, both BMW <BMWG.DE> and Porsche
<PSHG_p.DE> lost 0.7 percent.
SOCGEN, AKZONOBEL FALL
French bank Societe Generale <SOGN.PA> dropped 7.2 percent
as traders expressed disappointment with its fourth-quarter
figures, though Europe's banking sector <.SX7P> edged 0.1
percent higher.
Barclays <BARC.L> and BNP Paribas <BNPP.PA> rose 2 and 2.2
percent, extending this week's gains after their results.
Dutch chemical group AkzoNobel <AKZO.AS> slumped nearly 7.5
percent after it reported a worse than expected 4 percent rise
in fourth-quarter operating profit. []
But heavyweight oil producers and miners firmed, helped by
former raw material prices. BP <BP.L>, Royal Dutch Shell
<RDSa.AS> and Total <TOTF.PA> rose 0.7 to 0.9 percent, while
miners Xstrata <XTA.L> and BHP Billiton <BLT.L> put on 2.2 and
1.9 percent, respectively.
Across Europe, Britain's FTSE 100 <> advanced 0.9
percent, and both Germany's DAX <> and France's CAC 40
<> added 0.6 percent.
The FTSEurofirst 300 is down 2.3 percent this year on
concerns over peripheral euro zone economies, China's monetary
tightening and proposed U.S. regulations on banks, after
rebounding 26 percent in 2009.
(Additional reporting by Brian Gorman; Editing by Greg Mahlich)
