European shares end 2013 on high

European shares yesterday rose to mark a positive end to 2013, with pan-European indexes posting their best annual gains since 2009 and many investors forecasting more progress next year.

Although the stock market rally still faces risks from factors such as a possible spike in bond yields or a rise in the oil price from civil unrest in the Middle East and Africa, traders expect the gradual recovery in the world economy to continue to support equities in 2014.

France’s Cac-40 equity index closed up 0.5% at 4,295.95 points, bringing its gains for 2013 to 18% while Spain’s Ibex rose 0.2% to 9,916.70 points, with the Ibex up around 21% since the start of 2013.