European shares rose on Friday at midday, with banking stocks taking the lead and commodity shares tracking higher crude and metal prices. By 1139 GMT, the pan-European FTSEurofirst 300 index of top shares was up 0.4 percent at 1,001.14 points. The index, which gained nearly 26 percent in 2009, is down around 4 percent this year. “Today is the day the markets have decided to have a rebound. Generally, corporate results have been good and have surprised on the upside in both the top line and the bottom line,” said Mike Lenhoff, chief strategist at Brewin Dolphin. “Later, home sales figures will be interesting to watch as what we have seen recently is a loss of momentum in this area. This is a very critical part of the U.S. economy and if we get another month of disappointment it will not be helpful.” Banks added the most points to the index. HSBC, Banco Santander, BNP Paribas and UniCredit gained 0.9 percent to 2.4 percent. However, Lloyds fell 5.9 percent after results, with traders saying its loan-to-deposit ratio was too high, and its impairment guidance was not a bullish as some had expected. Miners were in favour as copper rose 0.5 percent. Anglo American, Antofagasta, BHP Billiton, Rio Tinto and Xstrata were 1.4 to 2.3 percent higher.
