Lisbon shares close higher

Share prices closed slightly higher, outperforming major European markets, supported by heavyweight BCP, which added to recent gains, and with banking stocks BPI and BES and paper and pulp companies also firm.

The PSI 20 index closed up 20.47 points at 13,405.34, after trading in a range of 13,371-13,434.

Equities opened lower on Wall Street's losses on Friday, with market jitters sparked by terrorist attacks in the UK also weighing on sentiment, but recovered quickly to stay in positive territory throughout most of the morning.

In the afternoon, shares stayed in the black, supported by early strength on Wall Street, but closed off highs.

Blue chip BCP gained 0.01 eur to 4.15, retreating from an intra-day high of adding to gains last week amid additional press reports over the weekend of an internal power struggle between the bank's chairman and its CEO.

Traders said that the share price is seen supported as some investors are believed to be building large stakes to get more voting rights in an expected upcoming shareholder's meeting, which will discuss statute changes.

Other banking stocks were also strong, with BPI up 0.09 at 6.67 and BES up 0.17 at 16.65.

Heavyweight EDP was flat at 4.09, while blue chip Portugal Telecom was down 0.09 at 10.14, weighed on the index.

Stocks in the paper and pulp sector also supported the index, adding to gains last week, with Altri up 0.13 or 1.90 pct at 6.98, Portucel up 0.02 at 3.02 and Semapa, which owns 67 of Portucel, up 0.04 at 13.38.

Highway concessionary Brisa rose 0.04 to 9.99 after BPI analysts deemed 'potentially positive' for the company and also for peer Mota Engil, reports that the companies expressed interest in participating in the privatisation of road network operator Estradas de Portugal.

Mota Engil shed 0.02 to 7.08, still pressured by profit taking after hefty gains ahead of the IPO of its affiliate Martifer.

Builder Soares da Costa, which today replaced IT services firm Novabase in the main PSI 20 index, was flat at 2.45.

Novabase rose 0.03 to 4.76, amid slim volume.

Among major fallers, Sonae Industria shed 0.05 to 10.70, in profit taking after hefty gains last week following SCH's target price hike to 13.00 eur per share.

source:www.forbes.com