The FTSE closed sharply lower, dragged down by miners and oil as commodity and crude prices fell on a rise in the US$. Wall Street was trading higher as softer crude prices eased inflation concerns. At home, miners suffered, retailers rebounded and airlines gained. MARKS & SPENCER [+3.86%] and BA [+2.86%] rose. BP [-2.18%] was lower on the crude price drop and news a Moscow court had banned TNK-BP CEO Bob Dudley from working in Russia for two years. Up to 12 bidders submitted first-round offers for REED ELSEVIER's [-0.83%] Business Information division, which is valued at between GBP1bn and GBP1.25bn, The Daily Telegraph wrote. In other company news, LSE [+2.26%] trading rival Turquoise is finally set to open for business today, The Daily Telegraph reported. In the broader market, MICHAEL PAGE [-5.22%] plunged after turning down a GBP4/sh offer from Adecco and ending further talks held after the rejection. CRH [+2.59%] appointed Glenn Culpepper as finance director designate. DCC [+2.64%] is buying Chevron's UK oil distribution business.

PARIS

The CAC 40 [+0.74%] closed off intra-day highs but still in the black, with domestic newsflow light on the Assumption holiday. Wall Street was higher after a flurry of macro data. WTI was down at US$112.50/bbl amid concerns about slipping global demand and rising crude supply - TOTAL [-0.74%] underperformed while AIR FRANCE KLM [+4.82%] climbed. A weakening EUR vs the US$ lifted EADS [+6.06%] and hit ARCELOR MITTAL [-3.62%]. Also among fallers, GDF SUEZ's [-0.54%] US$232m bid for Turkish gas distribution and retailing player Izgaz has been successful. Wachovia's BluePoint has filed for bankruptcy protection, Bloomberg reported, hitting sentiment on DEXIA's [-2.34%] FSA unit. In broker changes, Morgan Stanley cut target on CARREFOUR [+3.11%], but kept overweight; lifted target on VALLOUREC [-0.53%], keeping overweight; and upgraded wider-market listed stocks TECHNIP [+2.11%] and STERIA [+3.13%] to equal weight and overweight, respectively. Staying away from blue chips, restaurant outfit GROUPE FLO [-2.64%] last night reported 2Q sales of EUR 97.7m, up 5.6% y/y - but down 3.9% at constant perimeter. Says deterioration in 2Q suggests a 'durable crisis' in consumer spending.

FRANKFURT

Xetra-Dax [+0.06%] closed flat, recovering from earlier losses amid a rebound in auto stocks following a surprise rise in US industrial production. The data showed demand for autos increased for a third month: DAIMLER [+0.27%], BMW [+2.42%]. On the local news front, Teva Pharmaceutical Industries, the world's biggest generic drugs maker, is in talks to acquire STADA [+12.57%], Globes reported, citing unidentified people. EUR 52.42 per share is thought to be on the table. Reuters reported that CONTINENTAL [+01.06%] and Schaeffler are close to a deal. An agreement between the two groups could apparently be announced early next week. Key for the likes of MERCK [-3.12%], Taiwan's No. 2 LCD maker, Chi Mei Optoelectronics, intends to reduce output and has put on hold a plan to build an LCD module factory in Vietnam. Key for K+S [-4.78%], Cheuvreux noted a halt in fertilizer purchases in Malaysia and Indonesia on the back of huge and rapid drop in crude palm oil price, but reckons it is too early to speculate on falling potash prices yet. ARQUES [-8.11%] sold its majority holding in Schoeps, an Austrian textiles retail group, at a symbolic price. Finally, on the earnings front, COLONIAL REAL ESTATE [-11.16%] lowered its group net income guidance to EUR 20-25m after reaching 1H rental income of EUR 28.9m and posting a group interim loss of EUR 2m. /Michael Sanderson - S&P MarketScope, ems@sandp.com

NORDICS

Nordic bourses closed mixed, while Wall Street was in the black: OMXHPI [+0.26%], OMXS30 [-0.16%], OSEBX [-0.37%] and OMXC20 [+1.4%]. Of local note, although 2Q EBIT of EUR 92m and sales of EUR 1.094bn were lower than expected, VESTAS [+7.34%] surged as order backlog increased 67% y/y. MARINE HARVEST [+1.39%] posted a narrower-than-expected 2Q net loss of NOK8m. Revenues for the quarter fell 11% due to a decline in realised prices, harvests and sold volume, and negative currency impact. It cut 2008 harvest volume forecast by 6k to 313k tonnes for salomonids. However the board expects operational results during 2H08 to 'show a clear positive development'. SCHIBSTED's [-3.47%] 2Q EBIT at NOK324m was below forecast and down 46.4% y/y. Said the macro situation in Spain remains weak. The weaker print media ad market affected Schibsted Classified Media and 20 Minutes. AKER's [-0.79%] 2Q revenues rose 59.4% to NOK1.854bn. H&M [+2.55%] posted July sales up 15% y/y, above forecast. In other news: MEDA [+5.74%] has acquired global rights to four drugs from Roche for EUR 120m. On the broker front, Morgan Stanley downgraded ACERGY [-0.23%] and PGS [-3.51%], cut the target price on SUBSEA [+1.65%] and upgraded SEADRILL [+1.65%].

AMSTERDAM

In somewhat volatile trading, the AEX [+0.11%] finished the day slightly higher, while US markets traded in positive territory following a surprise rise in US industrial production. Newsflow was slightly subdued today, with some European countries celebrating Assumption day. Locally, ARCELOR-MITTAL [-3.62%] was leading faller as the US$ strengthened against the EUR. ROYAL DUTCH SHELL [-1.19%] also fell. Rumoured takeover target TNT [+3.86%] was best blue-chip performer. The Daily Telegraph wrote that up to 12 bidders submitted first-round offers for REED ELSEVIER's [-0.18%] business information division, which is valued at between GBP1bn and GBP1.25bn. One of the bidders is said to be US publishing giant McGraw-Hill. Staying with media, wider-market listed TELEGRAAF [+1.69%] reported lower-than-expected 1H numbers, with sales of EUR 360m vs consensus of EUR 365.5m and operating profit of EUR 26.2m vs consensus of EUR 30m, resulting in a net loss of EUR 175.5m. VAN LANSCHOT's [+0.02%] 1H EPS missed estimates, with EPS of EUR 1.58, down 44% y/y. Income from operating activities was at EUR 283m and net profit at EUR 60.2m, down 41% y/y. For FY08, sees a decline in revenue.