* FTSEurofirst 300 up 0.3 pct, highest close since Sept '08
* Miners gain as metals prices rise; copper rises to record
* Takeover of Wellstream boosts hopes of further M&A
* Strong macroeconomic data improves market sentiment
By Brian Gorman
LONDON, Dec 13 (Reuters) - European shares rose for a sixth
straight day on Monday, the longest winning streak in five
months, on optimism for the economy and as China's decision not
to raise interest rates boosted miners.
The pan-European FTSEurofirst 300 <> index rose 0.3
percent to 1,129.33 points, its highest close since September
2008. It was the index's longest winning run since July.
"There's a bit more confidence about the cyclical outlook,"
Bill Dinning, head of strategy at Aegon Asset Management in
Edinburgh, said.
"You've seen some of the worst fears in Europe ... (such as)
the sovereign crisis ... put on hold, though I think it will
come back. There's been a general drift-up of expectations in
terms of economic forecasts, especially for Germany."
Cooper hit a record high and other metals gained, boosted by
trong data from top consumer China. Miners to benefit included
BHP Billiton <BLT.L>, Fresnillo <FRES.L>, Kazakhmys <KAZ.L>, Rio
Tinto <RIO.L> and Vedanta <VED.L>, up between 1.9 and 4.1
percent.
China's central bank raised reserve requirements for banks
instead of benchmark interest rates, easing concerns that a
tightening of its monetary policy could lead to a slowdown in
one of the major growth engines of the global economy.
The sector was boosted by a weaker dollar <.DXY>, which also
supported oil prices, with Brent <LCOc1> well above $91.
Among the bigger oil companies, Total <TOTF.PA> and Repsol
<REP.MC> rose 1.3 and 0.9 percent respectively.
Takeover activity boosted investor sentiment, especially in
the oil services sector.
General Electric Co <GE.N> reached a deal to buy Wellstream
Holdings Plc <WSML.L> by raising its bid for the British oil
drilling pipemaker by 6 percent to some 800 million pounds
($1.26 billion). Wellstream rose 5.8 percent while France's
Technip <TECF.PA> added 3.3 percent.
Wood Group <WG.L> rose 6.7 percent after making the latest
in a long line of acquisitions, agreeing to buy unlisted
Scotland-based rival PSN for $955 million, including $325
million debt.
The European benchmark index is up 75 percent from a
lifetime low in March 2009. Several major economies have emerged
from recession, helped by stimulus from governments and central
banks worldwide.
"There's a good chance corporate profitability will continue
to be strong. Companies will take that confident outlook and
hire more people," said Dinning.
Across Europe, Britain's FTSE 100 <>, Germany's DAX
<> and France's CAC 40 <> ended the day between 0.3
and 0.9 percent higher.
Confidence over the pace of economic recovery in the United
States helped bolster positive sentiment following upbeat
economic data last week, including strong U.S. consumer
confidence and an improving jobs outlook.
Trading volumes, however, were thin as the year-end holiday
period draws closer.
"... I don't think there are too many investors willing to
take big risks in the remaining days of the year. It could mean
that people are going to secure their profits. The market could
become pretty volatile in the coming days due to lower volumes,"
said Koen De Leus, strategist at KBC Securities.
DRUGMAKERS TAKE HIT
Pharmaceutical stocks were mostly lower. French drugmaker
Sanofi-Aventis <SASY.PA> shed 0.6 percent after it extended its
snubbed $18.5 billion cash bid for U.S. biotech group Genzyme
<GENZ.O> by six weeks, buying time to persuade its reluctant
target to talk. []
Novartis <NOVN.VX> fell 0.8 percent; Bayer <BAYGn.DE> was
1.4 percent lower.
Back among the winners, French carmaker Renault <RENA.PA>
rose 2.2 percent after Le Figaro said the firm would post record
2010 vehicle sales and profits, and unveil an operating margin
target of 4 to 5 percent in 2013. []
Within the sector, Peugeot <PEUP.PA> and Porsche <PSHG_p.DE>
gained 2.4 and 1.8 percent respectively.
($1=.6335 Pound)
(Additional reporting by Atul Prakash; Editing by David
Hulmes)
