Global Stocks Advance; BHP, Anglo American, Cap Gemini Gain

Dec. 24 (Bloomberg) -- Stocks in Europe and Asia gained, led by commodity producers including BHP Billiton Ltd. and Anglo American Plc, as copper surged by its daily limit in Shanghai.

BHP Billiton also rallied after a U.K. regulator set a deadline for a formal takeover bid for Rio Tinto Group. Cap Gemini SA, Europe's largest computer-services company, rose the most in three months on a report that India's Wipro Ltd. will bid for the French company by the end of January. Samsung Electronics Co., South Korea's biggest exporter, climbed after consumer spending increased more than forecast in the U.S.

``Commodity prices are going to be particularly strong,'' said Andrew Pullar, who helps manage $900 million in London at Baker Steel Capital Managers LLC. Speculation of mergers among mining companies is ``very encouraging'' for the industry as it shows ``the global giants believe in stronger commodity prices.''

The MSCI World Index added 0.2 percent to 1,582.95 as of 10:48 a.m. in London, extending its gain for the year to 6.7 percent. Futures on the Standard & Poor's 500 Index were little changed at 1,497.70.

Raw-material producers have led the 2007 global advance, adding 29 percent, as surging demand from China sent metal prices higher. The MSCI World is still heading for its first fourth quarter decline since 2000, on concern that the subprime mortgage slump will send the U.S. economy into recession.

Trading may be slower than usual today with several markets including Germany, Italy, Spain, Switzerland, Japan and Indonesia shut. Trading in the U.K., Ireland, the Netherlands, Belgium and France will close early today, and all European markets will be shut tomorrow for Christmas.

European Benchmarks

European national benchmarks rose in all of the seven western European markets that were open. France's CAC 40 added 0.2 percent and the U.K.'s FTSE 100 climbed 0.3 percent.

The cost of borrowing euros fell for a fifth day, signaling action by central banks to relieve a global squeeze in money markets is working. European government bonds fell, while Treasury notes were little changed.

The MSCI Asia Pacific excluding Japan Index rose 2 percent. The measure has added 32 percent this year and is on course for its fifth annual increase. Benchmarks in all Asian markets open for trading rose. Hong Kong's Hang Seng Index added 1.8 percent and South Korea's Kospi Index rose 2.2 percent.

Markets in Japan, Indonesia, the Philippines and Thailand were shut today, and closed early in Australia, Hong Kong and Singapore.

BHP, Anglo American

BHP Billiton, the world's largest miner, increased 1 percent to 1,555 pence. Anglo American, the world's second- biggest, advanced 1.5 percent to 3,057 pence.

Copper in Shanghai rose by the exchange-imposed daily limit for a second day as stockpiles in China slumped to a 10- month low, signaling that the world's biggest consumer of the metal may need to step up buying. The London Metal Exchange is closed until Dec. 27 for the Christmas holiday.

BHP must bid for Rio by 5 p.m. on Feb. 6 or walk away until six months from when it announces its decision, the U.K. Takeover Panel said on Dec. 21. Rio asked the panel on Dec. 10 to force BHP to formalize its bid, currently worth $123 billion.

Separately, China's cabinet has approved a plan by state- owned companies to study strategies to counter a BHP takeover bid for Rio Tinto, the South China Morning Post reported, citing unidentified people.

Sun Bin, a spokeswoman at China International, declined to comment. Ning Xia, a spokeswoman at BOC International, didn't answer phone calls to her office.

Cap Gemini

Cap Gemini rallied 5.4 percent to 42.91 euros after the Hindustan Times newspaper reported that Wipro may bid for the company. The bid could be close to 48 euros ($69) per share, valuing Cap Gemini at between $6.4 billion and $7 billion, the Hindustan Times reported, citing unidentified investment bankers.

Wipro, the third-biggest software exporter, climbed 7.8 percent in Indian trading. Radha Radhakrishna, a spokeswoman for Wipro, declined to comment on the newspaper report. Christel Lerouge, a spokeswoman at Cap Gemini, couldn't immediately be reached.

Samsung

Samsung Electronics, South Korea's biggest exporter, advanced 3.2 percent to 578,000 won. Hon Hai Precision Industry Co., maker of iPods for Apple Inc., climbed 4.4 percent to NT$200.

U.S. consumer spending rose 1.1 percent in November, the Commerce Department said Dec. 21. That was higher than the median estimate of 0.7 percent in a Bloomberg News survey of economists and was the biggest increase since July 2005.

Mediatek Inc., Taiwan's biggest maker of mobile-phone chips, climbed 5.9 percent to NT$428 after the Taipei-based Commercial Times newspaper said the company may ship 65 million handset chips in the first quarter, an 8 percent increase from the three months through December.

Standard Chartered Plc rose 1 percent to 1,853 pence. Temasek Holdings Pte, its biggest shareholder, increased its stake in the U.K. bank that gets most of its profit from Asia by 1 percentage point to 18 percent.

The Singapore sovereign wealth fund bought 12 million shares to lift its stake to 253.7 million shares, the bank said in a filing on Dec. 21. The additional shares are worth 220 million pounds ($436 million) at that day's closing price of 1,835 pence.