STOCKS NEWS EUROPE-FTSE Small caps up 1.6 pct at midday

The FTSE Small cap index .FTSC gains 1.6 percent in mid-session trade, reflecting the positive mood in the wider market, which sees the FTSE 100 .FTSE up 2.1 percent and the FTSE 250 .FTMC 2.7 percent higher.

Lipoxen (LIPX.L) soars 135.7 percent after the company releases trial data showing that a vaccine could work on swine flu. PuriCore (PURI.L) leaps 36 percent after underlining the fact that its Sterilox sanitation technology works on the swine flu virus.

Newspaper group Mecom (MEC.L) sheds 14.4 percent after saying it plans to raise 140 million pounds in equity to pay down debt and convertibles as it fights against falling advertising revenues.

Reuters Messaging rm://david.brett.reuters.com@reuters.net