European stocks higher after Greek vote; DAX jumps 0.99%

Investing.com - European stock markets were higher on Monday, as sentiment was boosted by new hopes of a Greek bailout deal after the country’s parliament approved a series of austerity measures.

During European morning trade, the EURO STOXX 50 surged 1%, France’s CAC 40 climbed 0.95%, while Germany’s DAX 30 jumped 0.99%.

Greek lawmakers approved on Sunday a set of austerity measures needed to secure a second bailout package, including cuts in private-sector wages, 15,000 public-sector job cuts and a further EUR3 billion in government-spending cuts this year alone.

However, Greece must still find a further EUR325 million of spending cuts and give binding assurances the plan will be implemented before Wednesday when euro zone finance ministers meet to decide on a new EUR130 billion bailout.

Financial stocks were broadly higher, led by Dutch lender ING Group whose shares soared 4.18% and German Deutsche Bank, climbing 3.23%, while France’s Societe Generale and BNP Paribas jumped 2.66% and 1.99% respectively.

Meanwhile, Areva, the French maker of nuclear reactors and fuel, advanced 3.70%, after the company said it will supply Electricite de France with as much as 20,000 metric tons of uranium through 2030. EDF may also help finance a new mining project with Areva, the companies said.

France Telecom also added to gains, with shares rising 0.84% as the nation’s largest phone company is in talks to purchase part of billionaire Naguib Sawiris’s stake and increase its control in their Egyptian mobile-phone venture.

In London, FTSE 100 climbed 1%, as U.K. lenders tracked their European counterparts higher.

Shares in Lloyds Banking surged 3.02% and the Royal Bank of Scotland advanced 2.33%, while Barclays and HSBC Holdings added 1.91% and 1.30% respectively.

Mining giants Rio Tinto and Bhp Billiton contributed to gains with shares rising jumping 2.23% and 1.85%, while copper producers Xstrata and Kazakhmys soared 2.59% and 2.85%.

Elsewhere, Cable & Wireless Worldwide skyrocketed 27.95% after Vodafone Group, the world’s largest mobile-phone company, said it is evaluating an offer for the company.

In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a rise of 0.65%, S&P 500 futures signaled a 0.78% increase, while the Nasdaq 100 futures indicated a 0.74% gain.