Private investment bank Julius Baer added 2.2% after confirming it is in talks with Bank of America about acquiring the Merrill Lynch international wealth-management business.

WSJ: Europe Stocks Rise

Not surprisingly, bank loans in November were up from forecasts, confirming that an easing policy is now in effect.

FORBES: The No. 1 Problem of the Chinese Economy

This, the bank said, came after having revalued property it holds as collateral confirming a widespread belief that its bad-loan problems may be worse than it has claimed.

ECONOMIST: Czech banks