STOCKS NEWS EUROPE-UK small cap close 0.5 percent higher

The FTSE Small Caps index closes up 0.5 percent, lagging the blue-chip FTSE 100 and the FTSE 250 mid-cap indexes , which end 1.4 percent and 1.1 percent higher, respectively.

Shares in ITE Group fall 0.8 percent as the exhibition and conference organiser, which gets half its revenue from Moscow, warns about the earnings impact of a strengthening in the British pound against the euro and Russia's rouble.

"We will downgrade full-year 2013 profit before taxes estimate by 5 percent to reflect this further adverse currency movement," Peel Hunt says in a note.

Vectura's stock gains 2 percent as the drugmaker's Seebri Breezhaler treatment for chronic obstructive pulmonary disease is approved for sale by the European Commission.

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(Reporting By Francesco Canepa)

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