-Troika recommends giving Greece 2 more years
-Investors worried by weak prospects in emerging markets
-Draghi says common bank regulator in force only in 2014
-Buybacks will fall by 67% in 2012-Bbg

FTSE-100: 0.55%
Dax-30: 0.80%
Cac-40: 1.32%
FTSE-Mibtel 30: 1.07%
Ibex 35: 0.48%
Stoxx 600: 0.69%

European equities are being buoyed this morning by reports that the Troika has asked the Eurogroup for another two years' time for Greece to be able to meet its commitments as regards fiscal adjustment. Said proposal is expected to be discussed at this next Thursday's summit of Eurozone leaders.

Critically, some estimates purport to show that giving Greece more time could equate to another €30bn in aid. The country's Prime Minister however is adamant that they do not need more money, just liquidity. Hence his proposal to pay a lower interest rate on the European Central Bank's holdings of Greek public debt.

Also worth noting, European Central Bank (ECB) President Mario Draghi said that common banking supervision in the euro area is likely to become operational only in 2014, even if the council regulation enters into force in January 2013.

Acting as a backdrop, there is quite a bit of market chatter today regarding the relatively poor prospects for growth this year in emerging markets. That comes ahead of Chinese third quarter gross domestic product data expected out on Thursday morning.

As an aside, Bloomberg is commenting on how corporate buybacks minus equity sales will fall by 67% to less than €10bn ($13bn) in 2012 even as cash held by Stoxx 600 companies climbed to a record last quarter. That would mark the smallest total since 2009, when equity offerings exceeded repurchases. Takeovers slumped to a two-year low of $92bn last quarter.

Orkla has agreed to combine units with Norsk Hydro to provide aluminum profiles, building systems and tubing in North America and Europe.

The Fashion retailer H&M is advancing after reporting a 15% increase in total sales for September. Like-for-like sales rose by 6%.

Shares of German cosmetics retailer Douglas are up strongly after Advent made an offer for the company.

From a sector stand-point the best performers within the DJ Stoxx 600 are now to be seen in the following industrial groups: Banks (1.19%), Chemicals (1.10%) and Real estate (1.06%).

Slightly stronger than forecast Swiss wholesale prices
Swiss producer prices increased by 0.3% month-on-month in September (Consensus: 0.2%).

Slight gain in the euro

The euro/dollar is now up by 0.11% to the 1.2970 dollar mark.

Front month Brent crude futures are now rising by 0.555 dollars to the 114.5 dollar mark on the ICE.



AB

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