Monday saw most European markets trade on a higher note. Trading was fairly light but higher gains during the day did fall back at the close. In Frankfurt, the Xetra Dax closed slightly lower, as did the CAC 40 in Paris. Despite heavy gains for some stocks, investors still seem to be rocked by the Worldcom scandal.
Tuesday saw European markets fall heavily into the red by close of play. Questionable accounting practices of the French media group Vivendi unnerved investors, especially with Worldcom still in peoples' minds. At the end of trade the Xetra Dax in Frankfurt had fallen by almost 3.5% and the CAC 40 in Paris had fallen by over 4%.
Wednesday was another day in the red for European markets with worries over Vivendi's accounting practices getting worse. No sector seemed to escape the selling spree and the closing figures were not surprising. In Frankfurt the Xetra Dax closed down by over 2% and the CAC 40 in Paris fell by 3%.
Thursday saw a comeback in the technology, media and telecommunications sector which posted much needed gains to the indices. After a comeback by US markets on Wednesday evening, investors confidence grew, leaving most European indices firmly back on track and in the black. By the end of trade the German Xetra Dax had risen by over 2% and the CAC 40 in Paris by almost 2%.
Europe had the Friday feeling, obviously boosted along to a higher close by the positive news from the US markets. This was the second day of strong gains with increased investor confidence showing through. By the close of play the Xetra Dax in Frankfurt had posted whopping gains of over 4.5%. Not to be outdone, the CAC 40 in Paris also managed a gain of 4.5%.