European stocks sag, but London lifted by oil prices

European stock markets mostly fell after a mixed overnight showing in New York, but London was boosted by gains by oil majors, dealers said Friday.

The British capital's FTSE 100 index of leading shares added 0.12 percent to 6,325.50 points in late morning deals, reversing earlier losses.

Frankfurt's DAX 30 index slipped 0.11 percent to 6,849.52 points in early afternoon trade and in Paris, the CAC 40 slid 0.08 percent to 5,593.98.

The DJ Euro Stoxx 50 index of eurozone blue chip shares decreased 0.17 percent to 4,163.14 points.

The euro stood at 1.3316 dollars.

New York markets had ended mixed on Thursday as the market digested a powerful rally on Wednesday as investors focused on prospects for a cut in US interest rates later this year.

Japanese share prices closed higher on Friday, extending their winning streak to a fourth trading day as a weaker yen gave a lift to exporters, dealers said.

The oil sector in London was given a shot in the arm by firm crude prices, which serve to boost oil company profits. Mining companies were also lifted by strong base metals prices.

British energy giant BP's share price rose 1.42 percent to 536 pence, while Anglo-Dutch peer Royal Dutch Shell saw its 'B' shares leap 1.22 percent to 1,662 pence.

Crude oil prices held above 62 dollars per barrel in London on concerns that gasoline or petrol stocks in the United States could tighten in the run-up to the country's peak-demand summer driving season.

Elsewhere in Europe, takeover pressure on Spanish energy giant Endesa rose sharply with a joint approach from Spanish and Italian companies Acciona and Enel.

The two companies revealed their cross-border ambitions for the electricity group in a challenge to a contentious offer from German energy group E.ON.

In Frankfurt, shares in E.ON sank 2.48 percent to 98.82 euros, but the group said it would maintain its bid.

E.ON has offered 41 billion euros (55 billion dollar) in a public offer to Endesa shareholders which runs until March 29. Its approach has been resisted by the Spanish government.

Enel stock slid 0.59 percent to 7.93 euros in Milan, while shares in Endesa were suspended in Madrid.

Meanwhile, Iberia's share price rose 2.98 percent higher to 3.80 euros after Spanish newspaper El Pais reported that the airline was the target of takeover interest from two airlines and two private equity groups.

In New York on Thursday, the Dow Jones Industrial Average gained 0.11 percent to close at 12,461.14 after a big 1.3 percent gain on Wednesday.

However, the Nasdaq composite dropped 0.17 percent to 2,451.74 while the broad-market Standard and Poor's 500 lost a fractional 0.03 percent to 1,434.54.

In Asia on Friday, Tokyo's benchmark Nikkei-225 index of leading shares gained 0.35 percent to end the week at 17,480.61 points.

Hong Kong's key Hang Seng Index closed flat at 19,692.64 points.