LONDON (AFP) - European stock markets climbed strongly after shaking off a mixed overnight showing on Wall Street, as banking stocks gave a pre-weekend boost to London share prices.
The London FTSE 100 index gained 1.18 percent to 4,624.90 points in early afternoon deals, above the 4,600-points level for the first time in more than a week and close to recent two-year highs, dealers said.
The Frankfurt DAX rose 1.15 percent to 3,937.86 points and the Paris CAC 40 climbed 1.24 percent to 3,685.55.
The DJ Euro Stoxx 50 index of leading eurozone shares advanced 1.09 percent to 2,755.96 points.
The euro stood at 1.2392 dollars.
US shares closed mixed Thursday as the share price of Merck plunged to an eight-year low after the US pharmaceutical giant announced a global withdrawal of its blockbuster arthritis drug Vioxx, citing possible stroke and cardiovascular risks.
The Dow Jones Industrial Average lost 0.55 percent to 10,080.27 points, while the tech-heavy Nasdaq composite managed a late comeback, rising 0.15 percent to 1,896.84. The Standard and Poor's 500 broad-market index edged down 0.02 percent to 1,114.58 points.
In Asia, Tokyo's benchmark Nikkei-225 index closed 1.49 percent higher at 10,985.17 points on Friday after the key Tankan survey showed continued improvement in business sentiment in the September quarter, dealers said.
Hong Kong's market was closed for a public holiday.
In London, Northern Rock jumped 2.54 percent to 728 pence after the British home loans provider forecast full-year profits at least in line with consensus.
The positive outlook lifted sector peers, with HBOS winning 1.54 percent to 757.5 pence and Abbey National 1.07 percent higher at 566 pence.
British Energy, the troubled nuclear group, was unchanged at 14.25 pence after posting a first-quarter net loss after exceptional items of 115 million pounds (168 million euros, 208 million dollars).
In Frankfurt, Siemens gained 0.59 percent to 59.56 euros after the German electronics giant said its Siemens Business Services unit has signed a 2.7-billion-euro (3.3-billion-dollar) contract to supply technology services to the British Broadcasting Corporation.
As part of the 10-and-a-half year contract, Siemens has acquired BBC Technology, a commercial subsidiary of the corporation and taken over about 1,400 BBC Technology employees, the German group said.