LONDON Jan 2 European shares notched up solid
gains on Wednesday, kicking off the new year with a broad-based
rally after U.S. lawmakers approved a deal preventing huge tax
hikes and spending cuts.
Republican-controlled House of Representatives late on
Tuesday finally approved a bill that will raise taxes on top
U.S. earners, fulfilling President Barack Obama's re-election
promise and avoiding the "fiscal cliff" of $600 billion in
broad-based tax hikes and spending cuts which threatened to drag
the U.S. economy into recession.
The FTSEurofirst 300 was up 1.1 percent at 1,146.20
by 0802 GMT, trading at levels last seen in May 2011.
"The U.S. news allows some apprehension to be reduced and
although we have been confident of a deal being announced last
minute we can now see more aggressive buying in today's
session," Atif Latif, director of trading at Guardian