Europe open: Shares in string start; FDJ makes €2.6bn bid for Kindred

(Sharecast News) - European shares made a strong start to the first trading session of the week after strong performances on Wall Street and Asia, while shares in Swedish gambling group Kindred surged on a €2.6bn bid from France's FDJ.

The pan-European Stoxx 600 was up 0.77% at 472.83 with all major regional bourses higher.

"Even the sprinkle of cold scepticism about the prospects for interest rate cuts isn't acting as much of a dampener to the red-hot enthusiasm, which helped Wall Street gain fresh new highs on Friday," said Hargreaves Lansdown analyst Susannah Streeter.

"The Nikkei also scaled fresh heights, as the positive vibes spilled over into the tech sector, with the Japanese index appearing to suck in investor appetite for Asian shares, amid a continued aversion towards China."

Chinese commercial lenders held benchmark lending rates steady, in line with the country's central bank decision to leave key policy rates unchanged.

The one-year loan prime rate (LPR) was held at 3.45% matching consensus forecasts, while the five-year rate, used as a reference for mortgages, was also kept at 4.2%.

"Chinese authorities have opted to sit on their hands, rather than try to provide any fresh stimulus to help repair the creaking economy. The People's Bank of China kept its key loan rate unchanged, which was expected, but is still mildly disappointing, given the fragile property sector's influence on consumer sentiment and dulled confidence in the region," Streeter added.

In equity news, Kindred Group, which operates the Unibet and 32Red brands, surged more than 16% after La Française des Jeux (FDJ) launched an all-cash tender offer, of 130 Swedish crowns a share - a 24% premium over the closing price on January 19.

Reporting by Frank Prenesti for Sharecast.com