* FTSEurofirst 300 closes 0.7 percent higher
* Forecast-beating results from Philips boost sentiment
* Heavyweight pharmas among major gainers
By Brian Gorman
LONDON, Oct 12 (Reuters) - European stocks closed higher on
Monday, as Dutch giant Philips
The FTSEurofirst 300 <.FTEU3> index of top European shares rose 0.7 percent to 1,005.37 points, the highest close since Sept. 23.
The European benchmark index is up 56 percent from its lifetime low of March 9, as investors have become more confident on the prospects of economic recovery.
Philips surged 7.7 percent after posting better than expected third-quarter results, as the world's biggest lighting maker and Europe's biggest consumer electronics producer benefited from cost-cutting measures. [ID:nLC210070]
"The results of companies like Phillips are important, and other corporates are also reporting decent profits," said Franz Wenzel, strategist at AXA Investment Managers, in Paris. "It's on the basis of restructuring, but that's not a big problem at this juncture. It's helping to push the market higher.
"The main reasons for the stock market rally are still in place. The macroeconomics are improving. And, importantly, we still have ample liquidity," he said.
Shares of tech companies and conglomerates gained ground,
with Siemens
Alcatel-Lucent
Around Europe, Britain's FTSE 100 index <.FTSE> closed 0.9 percent higher, Germany's DAX index <.GDAXI> rose 1.3 percent, and France's CAC 40 <.FCHI> was up 1.2 percent.
Wall Street was higher around the time European bourses were closing, though trading was subdued on Columbus Day, with no major economic data released.
The Dow Jones <.DJI>, S&P 500 <.SPX> and Nasdaq Composite <.IXIC> were up 0.5-0.6 percent.
Earnings were due later in the week from several U.S.
bellwethers Intel Corp
PHARMAS GAIN
The heavyweight pharmaceutical sector, one of the poorer
performers since March, gained. GlaxoSmithKline
Most banks were higher. Banco Santander
But two British banks bucked the trend.
Lloyds
Barclays
Oil companies gained ground as crude oil futures
Total
Among other individual shares, Vodafone
Dutch brewer Heineken