* FTSEurofirst 300 index ekes out 0.1 pct gain
* Energy firms boosted by strong crude prices
* Euro zone finance ministers meet; anti-crisis steps eyed
By Harpreet Bhal
LONDON, Dec 6 (Reuters) - Rallying oil majors lifted
European shares on Monday as crude prices remained strong, just
about offsetting nerves over the outcome of a euro zone meeting
expected to outline further plans to contain the debt crisis.
The pan-European FTSEurofirst 300 <> index of top
shares closed 0.1 percent higher at 1,105.41 points.
Energy firms rose as crude prices hovered just below a
two-year high of $90 a barrel on expectations of higher demand
for fuel due to freezing weather in Europe and parts of the
United States.
Heavyweight BP <BP.L> rose 3.4 percent, boosted by
Pakistan's Oil and Gas Development Co. Ltd's <OGDC.KA> plan to
make a joint bid for BP's assets in Pakistan -- a deal which
could form part of plans by the British oil major to raise cash
to pay for the Gulf of Mexico spill. []
Within the sector, BG Group <BG.L>, Total <TOTF.PA> and
Statoil <STL.OL> were up 1 to 2.6 percent.
Some uncertainty prevailed ahead of the outcome of a euro
zone finance ministers meeting, with the IMF expected to urge
the bloc to enlarge the size of a 750 billion euro safety net
and the European Central Bank (ECB) to step up its purchases of
government bonds to stem the debt crisis. []
Germany, however, rejected any such move and also dismissed
a call by two veteran finance ministers for joint euro bonds to
be guaranteed by the whole euro zone. []
"The market is clearly looking for an enlargement of the
rescue fund. They want to know what the plans are and if it is
going to be sustainable," said Heino Ruland, strategist at
Ruland Research in Frankfurt.
"If that is not on the table, people will continue
speculating against the euro."
Banks were on the back foot, with Barclays <BARC.L>, Societe
Generale <SOGN.PA> and Deutsche Bank <DBKGn.DE> down 1.4 to 1.9
percent, while Spanish banks Banco Santander <SAN.MC> and BBVA
<BBVA.MC> lost 2.3 and 2.9 percent respectively.
DOVISH FED
The market initially received a boost after Fed Chairman Ben
Bernanke said on Sunday the Fed could end up buying more than
the $600 billion in U.S. government bonds it had committed to
purchase, if the economy failed to respond or unemployment
stayed too high. []
"With Fed Chairman Ben Bernanke signalling that further
stimulus cannot be ruled out yesterday - investors still have a
buy-weakness mentality, suggesting that a "Santa rally" could be
on the cards over the next few weeks," said David Jones, chief
market strategist at IG Markets.
Among individual movers, Xstrata <XTA.L> rose 3.4 percent on
newspaper reports Glencore [], which holds a stake of
nearly 35 percent in the company, is looking to raise 6.3
billion pound ($9.94 billion) for a London Stock Exchange debut
as early as next year.
On the downside, Michelin <MICP.PA> fell 3 percent as broker
UBS downgraded its recommendation on the French tyremaker to
"sell" from "neutral", citing pressure from natural rubber
prices.
(Editing by David Cowell)
