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Greece, Yemen keeps European stocks jittery

Europe's main stock markets closed higher, with London's benchmark FTSE 100 index advancing 0.24 percent to 7,070.70 points

Europe's main stock markets diverged Friday as dealers awaited news on a deal over Greece's finances next week, while also tracking unrest in Yemen.

London's benchmark FTSE 100 index ended the day down 0.58 percent at 6,855.02 points.

But Frankfurt's DAX 30 index added 0.21 percent to 11,868.33 points, while the CAC 40 in Paris rose 0.55 percent to 5,034.06 points.

The euro rose to $1.0919 from $1.0884 late in New York on Thursday.

"On Friday, shares in Europe extended the recovery started a day earlier as concerns over the situation in Yemen eased but are nevertheless still looking at one of the worst weeks of 2015," said analyst Jasper Lawler at CMC Markets.

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The FTSE shed 2.38 percent over the week, the DAX gave up 1.4 percent and the CAC 1.0 percent.

However, the FTSE still remains up 4.4 percent since the start of the year, while the ECB stimulus has supercharged the CAC, up nearly 18 percent, and the DAX by 21 percent.

Focus remained on Greece on Friday, as Bundesbank chief Jens Weidmann says he is opposed to giving the troubled eurozone country more emergency loans, charging the new government in Athens with frittering away a lot of trust.

Greece is trying to reach a long-awaited accord with its creditors on funds vital to avert a state default.

The country's new radical left government is racing to reach a deal with its EU-IMF creditors by next month before state coffers run dry. The economy minister said Thursday he expects a deal next week.

European stock markets had slid on Thursday as the escalation of the crisis in Yemen and suspicions a Germanwings co-pilot deliberately crashed the plane into the French Alps unnerved investors.

"Regardless of the minor movements (in stocks)... there is a sense of quiet on the markets following yesterday's relative bloodbath, suggesting that investors are struggling to comprehend the logical complexities that are dictating current prices," said Connor Campbell, analyst at Spreadex trading group.

"The FTSE continued to languish... as investors failed to get behind a recovery for the UK index, instead placing their confidence in the eurozone.

"Sustained losses for oil and copper meant that the FTSE's influential commodity sectors provided no relief for the UK index, with Anglo American, Tullow Oil and Lonmin amongst the big losers," Campbell added.

Oil prices fell Friday after spiking the previous day as Saudi Arabian jets struck rebel targets in Yemen, sparking supply fears in the crude-rich Middle East.

Asian markets were also mixed on Friday in edgy trade also driven by concerns over the unrest in Yemen.

- Slow growth charges stocks -

Wall Street stocks pushed higher Friday following a report showing weaker-than-expected US economic growth as the market sought to snap a four-day losing streak.

The Dow Jones Industrial Average added 0.09 percent to stand at 17,694.35 points.

The broad-based S&P 500 edged up 0.07 percent to 2,059.03, while the tech-rich Nasdaq Composite Index rose 0.23 percent to 4,874.66.

With the Federal Reserve mulling raising near-zero interest rates this year, equities often receive a boost from data suggesting the US economic recovery isn't ready for higher rates.

The Commerce Department's third estimate of gross domestic product (GDP) growth was left unrevised at an annual rate of 2.2 percent following the third quarter's blistering 5.0 percent pace.

The expansion in the final months last year disappointed analysts, who on average had pegged GDP to rise 2.4 percent.