European shares turned positive on Tuesday as metals prices mounted on a delicate dollar with Aegon Insurer and other miners gainers that include Antofagasta, Eurasian Natural Resources Corp. and Xstrata, which were up between 0.7 %-1.2 %. Kazakhmys was up 1.6 %.
In the early morning, the FTSEurofirst 300 index of top European shares was up 0.2% at 1,047.16 points. Across Europe, Britain's FTSE 100, Germany's DAX and France's CAC40 rose between 0.5 and 0.6%.
Aegon was up 4.8% after the insurer’s announcement of paying back 500 million euros ($640.7 million) of state aid. The insurer also kept open the option of issuing shares to pay down the remaining 1.5 billion euros.
The HSBC market neutral hedge fund manager said that the stocks of unfavoured European industrials and consumer staples are well priced, while IT firms may underperform due to high valuations. Using analysis that aims to exploit equity pricing anomalies the HSBC GIF European Alpha Equity fund found good value in consumer products companies like Swiss foods group Nestle.
Analysts, on the other hand remained apprehensive about the performance of the European Stock Markets as the share trading volumes were quite low and the market lacked a clear direction.
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