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European banks jump 10 pct on EU's rescue plan


LONDON, May 10 (Reuters) - European banking shares spiked on Monday, after slipping about 14 percent last week, boosted by a $1 trillion emergency rescue package agreed by global policy makers to protect debt-stricken countries in the euro zone. The STOXX Europe 600 banking index jumped more than 10 percent, while Allied Irish Banks, Banck Santander , Standard Chartered, HSBC, Barclays , Lloyds, Royal Bank of Scotland, BNP Paribas, Societe Generale and Credit Agricole surging 5.8 to 24.1 percent. The rescue package, hammered out by European Union finance ministers, central bankers and the International Monetary Fund in marathon weekend talks to resolve the Greek debt crisis that threatened to sink the euro and unravel euro-zone unity, was the largest in more than two years since G20 leaders threw money at the global economy following the collapse of Lehman Brothers. At 0740 GMT, the FTSEurofirst 300 index of top European shares was up 4.8 percent at 1,013.63 points after hitting a seven-month closing low on Friday. It fell 8.9 percent during last week, its worst weekly performance since November 2008. (Reporting by Atul Prakash in London and Blaise Robinson in Paris) Keywords: MARKETS EUROPE STOCKS/BANKS (atul.prakash@reuters.com; +44 20 7542 6189; Reuters Messaging: atul.prakash.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved.

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