* FTSEurofirst 300 jumps 1.4 percent; targets 1-year high
* Banks advance; sector index up 170 percent from March lows
* ASML results boost tech stocks; miners in demand
* For up-to-the-minute market news, click on []
By Atul Prakash
LONDON, Oct 14 (Reuters) - European shares rose close to a
one-year high on Wednesday, with earnings from Intel <INTC.O>
and ASML <ASML.AS> soothing investors who had sold riskier
assets, such as equities, in the prior session.
The FTSEurofirst 300 <> index of top European shares
rose 1.4 percent to 1,009.17 points by 0759 GMT, having fallen 1
percent on Tuesday.
A move above 1,013.63 points would be a one-year high for
the index, which is up 21 percent this year and 56 percent
higher since hitting a record low in early March.
The VDAX-NEW volatility index <.V1XI> fell 2 percent to
hover near this week's 13-month lows. The lower the index, which
is based on buy and sell options on Frankfurt's top-30 stocks
<0#.GDAXI>, the higher is investors' appetite for risky assets.
Financial shares were among the top gainers, with the DJ
Stoxx banking index <.SX7P> rising 1.8 percent. The sector has
been the second best performer this year, surging 170 percent
since hitting a low in early March.
Standard Chartered <STAN.L>, HSBC <HSBA.L>, Barclays
<BARC.L>, Lloyds <LLOY.L>, Royal Bank of Scotland <RBS.L>, BNP
Paribas <BNPP.PA>, Societe Generale <SOGN.PA> and Credit
Agricole <CAGR.PA> gained 0.5-2.9 percent.
"Today could be one of those watershed moments for the
markets," said John Murphy, analyst at ODL Securities.
"Whilst we have rallied strongly since the March lows, the
release of Q3 earnings from some of the world's largest
financial institutions over the next 48 hours could well dictate
confidence, and indeed direction, for the rest of 2009."
Markets await results from JPMorgan Chase <JPM.N> later in
the day and from Citigroup <C.N> and Goldman Sachs <GS.N> on
Thursday.
After the closing bell on Wall Street on Tuesday, Intel
posted a quarterly outlook and results that were better than
expected, while Dutch chip equipment maker ASML swung to a
third-quarter net profit of 20 million euros ($30 million) as
orders picked up after nine months of falls.
Tech shares were in demand, with DJ STOXX technology index
<.SX8P> rising 1.9 percent. ASML shares rose 3.2 percent, while
Infineon <IFXGn.DE>, Nokia <NOK1V.HE>, STMicroelectronics
<STM.PA> and ARM <ARM.L> climbed 1.6-4.2 percent.
CRUDE POWERS ENERGY SHARES
Energy shares gained ground after crude oil <CLc1> surged
for a fifth day to a 2009 high above $75 a barrel as the dollar
hit a 14-month low and surprisingly strong China trade data
underscored a recovery in the world's second-largest oil user.
BP <BP.L>, Royal Dutch Shell <RDSa.L>, BG Group <BG.L>,
Tullow Oil <TLW.L>, Repsol <REP.MC>, Total <TOTF.PA> and
StatoilHydro <STL.OL> added 1.3-2.4 percent.
Miners got strength from higher metals prices. BHP Billiton
<BLT.L>, Anglo American <AAL.L>, Antofagasta <ANTO.L>, Xstrata
<XTA.L> and Eurasian Natural Resources <ENRC.L> rose 1.8-3.7
percent.
Global miner Rio Tinto <RIO.L> was up 3.7 percent as it
raised its production guidance for iron ore this year by 5-7.5
percent to 210-215 million tonnes, after reporting a 12 percent
jump in third-quarter output. []
"Traders will also be looking forward to the U.S. retail
sales figures especially as there has been much debate recently
whether consumer demand is returning or whether government
stimulus is the cause of better earnings," said Arifa
Sheikh-Usmani, equity trader at Spreadex,
"Either way, the momentum is still very much with the bulls
this morning so it would take a brave trader to go against the
tide today."
September U.S. retail sales data was due at 1230 GMT.
Economists in a Reuters survey forecast a 2.1 percent fall,
compared with a 2.7 percent rise in August.
Across Europe, Britain's FTSE 100 index <>, Germany's
DAX <> and France's CAC 40 <> rose 1.2-1.3 percent.
(Editing by Dan Lalor)
