European shares rebound

European shares bounced back on Tuesday, lifted by strong company results and corporate takeover activity after falling in the previous five sessions due to concerns over China's growth. The pan-European FTSEurofirst 300 index was up 1.2 per cent at 1,548.47 points going into the middle of the trading session. The index had tumbled in the last five sessions and touched a two-week low on Monday. The euro zone's blue-chip Euro STOXX 50 index also recovered to rise 1.5 per cent. The STOXX Europe 600 Insurance Index advanced 1.6 per cent, buoyed by Zurich Insurance's possible bid for rival RSA, which caused RSA shares to surge 15 per cent. Kering also climbed 7.4 per cent after Gucci, the flagship brand of the French luxury group, posted a 4.6 per cent rise in underlying second-quarter sales. Melrose jumped 10.7 per cent, according to Reuters.

-SRS