LONDON (MarketWatch) ? European stock markets edged higher...

LONDON (MarketWatch) ? European stock markets edged higher Tuesday as investors took a break from two days of heavy selling, with hotel and restaurant operator Whitbread PLC among the top performers after a trading update.



TRADING STRATEGIES: SEPTEMBER
While you were out ...
September has a lot to live up to following the summer's wild-and-woolly trading ? our team has ways to recession-proof your portfolio and more this month, and much more.
? Stock markets stumble into the Chop Zone
? Batten hatches for September's storm
? Dow headed below 10,000
? Why it's still too volatile to be safe
? 2 stocks, 4 funds that the long-term best hold
? 3 stocks to recession-proof your portfolio
? 3 big dividend plays for September
? 3 undervalued blue chips for the long term
? Corporate earnings are going to get hit
? What to buy, what to avoid for the rest of 2011
? The focus in on dividends
? Three tech stocks for September
? U.S. debt isn't biggest concern ?
? Set sights on what you already have ?
The Stoxx Europe 600 index XX:SXXP +0.27% ?rose 0.3% to 224.11 in early trading. The index had tumbled 6.5% over the previous two sessions as worries over U.S. jobs data and the continuing European debt crisis saw markets trade close to the lows they hit in mid-August.

Whitbread UK:WTB +6.86% ?was the standout gainer in London, climbing 6.2% after the hotel and restaurant operator reported a 13% rise in second-quarter sales and a 4.8% improvement in comparable sales.

The company also said it had raised 156.4 million pounds ($252 million) through private debt placements with institutional investors to replace funds borrowed from banks.

The stock led a 0.4% gain for the FTSE 100 index UK:UKX +1.45% ?to 5,125.25.

Retailer Marks & Spencer Group PLC UK:MKS -0.03% ?was among the worst performers, dropping 1.1% after Citigroup downgraded the stock to hold from buy and cut its rating on the U.K. retail sector to neutral from overweight, citing the worsening economic outlook.

In the other main European markets, the German DAX 30 index DX:DAX +1.12% ?rose 0.2% to 5,257.81 and the French CAC 40 index FR:PX1 +1.03% ?gained 0.4% to 3,012.71.

Banks had a choppy session as volatility in the sector continued.

Deutsche Bank AG DE:DBK +1.81% ?was the top performer in Frankfurt, rising 1.4% after J.P. Morgan Cazenove upgraded the stock to overweight from neutral, saying there could be 81% upside for the shares.

Commerzbank AG DE:CBK +1.17% , however, was the biggest faller on the German index, dropping 2.8% as the stock extended the losses posted over the last couple of sessions.

Banks were also the worst performers on the Paris markets. Credit Agricole SA FR:ACA -2.45% ?dropped 2% and Societe Generale SA FR:GLE -1.58% ?fell 1.5%.

Sanofi SA FR:SAN +1.29% ?rose 1.1% and other drug makers were also higher after Credit Suisse upgraded its view of the sector to benchmark from underweight. The broker said the deteriorating economic outlook for Europe meant it is moving more underweight on cyclical stocks and towards defensive sectors such as pharmaceuticals.

The broker also lifted its view of the telecom sector to overweight from benchmark for the same reason. Shares in BT Group PLC UK:BT.A +1.47% ?rose 1.5% in London and Deutsche Telekom DE:DTE +1.19%
?climbed 0.9% in Frankfurt.

http://www.marketwatch.com/story/whitbread-deutsche-bank-rise-in-europe-2011-09-06