European shares rebound from their biggest decline in two weeks

On Friday European shares rebounded from their biggest decline in two weeks as commodity prices recovered, while investors shrugged off concerns that a Federal Reserve rate increase as early as June will derail the U.S. economic recovery.

A measure of mining-related companies posted the biggest advance of the 19 industry groups on the Stoxx Europe 600 Index, with Anglo American Plc leading as metals rose. Energy shares also climbed as crude headed for its second weekly increase.

The Stoxx 600 added 0.9 percent to 336.98 at 1 p.m. in London, heading for a weekly gain of 0.7 percent. Shares slid yesterday as commodities tumbled and minutes from the Fed’s last meeting showed officials are ready to raise interest rates next month if the economic pickup stays supportive.

Among stocks moving on corporate news, Ladbrokes Plc jumped 7.3 percent after the U.K.’s competition watchdog said the company and Coral Group may have to sell as many as 400 shops to get approval for a merger that would create Britain’s biggest betting-shop chain. The number was well short of some of the most pessimistic predictions.

Asian stocks rebounded from a six-week low as Japanese shares climbed after the yen weakened and investors snapped up beaten down Chinese equities traded in Hong Kong. The MSCI Asia Pacific Index added 0.3 percent as of 4:11 p.m. in Hong Kong, after earlier falling as much as 0.2 percent.

Emerging-market stocks rose, paring a fifth week of declines and currencies trimmed losses as a rally in commodities boosted exporters. South Africa’s rand and Brazil’s real led currencies higher as a gauge of raw material producers climbed from the lowest level in more than two months.

Crude traded near a sevenmonth high and copper rose from levels last seen in February.