LONDON (AFP) - European stock markets rose in early deals, showing resilience in the face of record high oil prices.
The London FTSE 100 index gained 0.35 percent to 4,583.30 points, the Frankfurt DAX rose 0.99 percent to 3,920.68 points while the Paris CAC 40 climbed 0.51 percent to 3,686.20 points.
The DJ Euro Stoxx 50 index of leading eurozone shares advanced 0.56 percent to 2,748.92 points.
The euro stood at 1.2322 dollars.
A surge in oil prices above the 50-dollar mark in New York this week has raised concern about the economic outlook, but markets in the United States and Europe have largely shrugged off the rises.
On the New York Mercantile Exchange, the price of light sweet crude for November delivery dropped 29 cents to 49.61 dollars a barrel in pre-opening electronic trading.
On Tuesday the US Dow Jones Industrial Average rallied 0.89 percent to 10,077.40 points and the Nasdaq composite advanced 0.54 percent to 1,869.87 points.
"Now that the price has actually reached 50 dollars, the shock and awe effect of it becomes less," said Nigel Cobby, director of European equities at JP Morgan.
"So unless the oil price goes materially higher from here, I don't think it's going to have a huge negative effect on markets. It will probably stop them going up, but it won't send them sharply lower," he added.
Asian markets have been hit hardest by rising energy costs. Japan imports all of its oil, so is considered particularly exposed to high oil prices.
The Tokyo Stock Exchange's benchmark Nikkei-225 index lost 0.27 percent to 10,786.10 points on Wednesday.
In Hong Kong the Hang Seng Index closed down 0.55 percent at 12,950.80 points.
In London Johnson Matthey rose 2.07 percent to 960.5 pence after the specialty chemicals group said that current trading remained in line with market expectations despite adverse currency effects.
"Dollar weakness will have an adverse effect on the group's reported results but earnings per share -- before exceptional items and goodwill amortisation -- are still expected to be ahead of last year and in line with market expectations," the company said in a trading update.
In Paris Euro Disney shares surged 12.5 percent to 0.36 euros after the struggling theme park operator said it had reached an agreement with its creditors on the company's debt restructuring.
French oil major Total slid 1.29 percent to 167.8 euros after state electricity utility Electricite de France said it would sell its entire 2.3 percent stake in the group.
Munich Re shed 0.27 percent to 77.80 euros in Frankfurt after the German reinsurance giant said that its total burden from this year's heavy storm season will make it more difficult to reach its two billion euro full year 2004 net profit target, dealers said.