Ryanair and Aer Lingus shares decline as hostile takeover hots up. Europe airline shares
Asian markets rebounded on 15-Dec-08, led by Japanese stocks, as investors brushed aside a survey showing business confidence plunged, on hopes for a US interest-rate cut and after the Bush administration stated it would step in to prevent a failure of US car industry. The Nikkei surged 428.79 points (+5.21%) to 8664.66, while Hong Kong's Hang Seng Index rose 288.56 (+1.96%) to 15046.95. The Australian share market also closed stronger, driven higher by resource stocks following commodity price rises over the weekend. The benchmark S&P/ASX200 index was up 81 points (+2.31%) to 3591.4.
European stock markets were gently down. London's FTSE lost -2.79 points (-0.07%) closing at 4277.56, the Paris the CAC 40 fell -27.94 (-0.87%) to 3185.66, while the Frankfurt Dax 30 lost 103.83 (-2.18%) closing at 4663.37.
US shares later fell, as the market sought clarity over US President Bush's bid to rescue US carmakers and awaited outcome of a Federal Reserve meeting expected to cut interest rates. The Dow Jones Industrial Average fell 65.15 points (-0.75%) to 8,564.53, the Nasdaq was down 32.38 points (-2.10%) to 1508.34 and the Standard & Poor's 500 fell 11.13 points (-1.27%) to 868.60.
Oil prices
Oil prices fell again on 15-Dec-08 as the market ignored a likely OPEC supply cut to refocus on demand. Light, sweet crude prices for January delivery decreased USD1.77 (-3.8%) closing at USD44.51 a barrel on the New York Mercantile Exchange.
Airline shares
SkyEurope lost a little of the previous day's gains which had followed news of a possible takeover and funding rescue.
Ryanair (-5.3%) yesterday accused of favouring the government shareholder over ordinary shareholdings, slipped back on fears that it either would or would not acquire Aer Lingus.
European selected airlines daily share price movements (% change): 15-Dec-08
