European share prices benefited from news of the American government’s biggest bank bailout to date – Washington’s rescue package for Citigroup had a knock-on effect pushing up shares in Deutsche Bank, Credit Suisse Group. Barclays also put on 11 per cent. Oil companies picked up from their lowest prices on record after an oil price rally to more than 50 dollars a barrel. In the UK, the announcement of the government’s plans to borrow more and cut VAT pleased the European bourses, helping the FTSE to close up nearly 10 per cent. The Frankfurt market rose more than 10 per cent, and Paris gained nearly 9 and a half per cent.
European markets up sharply