European share indexes closed at fresh 2-1/2 year highs on Wednesday with utilities and miners leading the way on hopes of strong earnings growth, but drugmaker Roche sank after disappointing results. Italy's largest utility Enel was among the top gainers after posting a 12 percent rise in 2004 core profits and forecasting further profit growth this year. Enel shares closed up 2.3 percent at 7.43 euros, its highest since August 2001. The FTSEurofirst 300 index of pan-European blue chips closed 0.3 percent higher at 1,073.6 points, hitting a 2-1/2 year high for the fifth consecutive day. The narrower DJ Euro Stoxx 50 index rose 0.5 percent to 3,022.4 points. "The market looks all right. The gains we've seen are only moderate, year-to-date," said Matthias Grimm, a European fund manager at Cominvest in Frankfurt. Grimm said he favoured sectors more exposed to the economic cycle, with industrials and financials among his top picks. Technical analysts, who use chart patterns and historical data to predict market moves, expected further gains after indexes broke out of January's consolidation phase. "This has underscored the ongoing resilience that has been exhibited for the past three to four weeks as markets continue to defend support and probe resistance," Merrill Lynch analysts said. --More 2102 Local Time 1802 GMT
