Europe: 41/2-year high

LONDON: European shares hit a 41/2-year high and the dollar rose to its highest level in over seven months yesterday, as strong US retail sales figures helped bolster hopes of a global economic recovery.

The US stock futures also pointed to a tenth straight day of gains on Wall Street with the Dow Jones Industrial Average anticipating another all-time high.

The European FTSEurofirst 300 was at its highest level since mid-2008 at 1230 GMT, up 0.8 per cent on the day as London's FTSE climbed 0.4 per cent, Frankfurt's DAX rose one per cent and Paris's CAC40 up 0.8 per cent.

"The current rally is due to the cyclical expectations for the US economy as it recovers," said Didier Duret, chief investment officer at ABN Amro. Reuters