Europe Markets: Europe stocks advance while British equities get left behind as sterling climbs

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European stocks mostly rose on Thursday, with the exception of U.K. equities as multinationals suffered from the continued run-up in the British pound.

The Stoxx Europe 600 SXXP, +0.20%  increased 0.29% to 404.37.

The German DAX DAX, -0.10%  and French CAC 40 PX1, +0.40%  also rose. U.S. stock futures ES00, +0.22%  also gained ground.

However, the U.K. FTSE 100 UKX, -0.16%  declined 0.09% to 7182.28. The rise in the British pound GBPUSD, +0.1602%  , on the expectation that the Conservatives will secure a majority in Parliament after the Dec. 12 general election, is weighing on U.K.-based multinationals such as AstraZeneca AZN, -0.01%   that earn most of their revenue outside the country. AstraZeneca’s U.K.-listed shares fell 0.5%.

Of stocks in the spotlight, shares in Italian jacket maker Moncler MONC, +9.63%  surged after Bloomberg reported Kering, the French luxury brands owner, has held exploratory talks on buying it. Kering KER, +1.43%  shares rose 1.7%. Neither company commented.

An analyst at ING said a buyout price could be 13 billion euros ($14.4 billion). Analysts at Morgan Stanley, who say Moncler could fetch 12.25 billion euros, said the Italian group would be a “plug-and-play” acquisition for Kering and a way for the French company to reduce its dependence on the Gucci brand.

M&G shares MNG, -4.00%   dropped for a second day, losing 3%, after the fund manager on Wednesday suspended redemptions from its flagship property fund.