Capital plans boost Commerzbank - FT.com Shares in Commerzbank leapt 12.5 per cent to €1.59 after it unveiled comprehensive plans to plug its capital shortfall, without resorting to state aid or significant dilution of equities. The said its plans to meet European Banking Association capital targets would leave it with a core tier one ratio of 11 per cent by the end of the year. Deutsche Bank gained 5.1 per cent to €31.48, as banks across Europe led gains. The FTSE Eurofirst 300 was 0.4 per cent higher at 1,038.44 in midday trade. UniCredit was suspended "limit up" after it rose 8.8 per cent to €3.24 as sentiment surrounding its rights issue improved. Strong gains for Italian banks supported the FTSE MIB as it rose 1.3 per cent to 15,455.95. In Paris, Société Générale continued its strong performance from the previous session, climbing 7.9 per cent to €19.17 as investors increasingly focused on the sector's upside. BNP Paribas rose 3.4 per cent to €33.15, while Crédit Agricole gained 3.1 per cent to €4.56. "The fact that the ECB has provided unlimited liquidity is a strong support for French banks because they were being squeezed, first on US dollars and then on euros," said one analyst. They were under more pressure than other European banks. French engineering group Alstom led the CAC 40 index after a bullish statement from its chief executive buoyed investors. The stock rose 11.3 per cent to €26.89 following a forecast by company head, Patrick Kron, that its sales recovery would continue "strongly." Changes in the German energy market continued to weigh on RWE and E.on . Both slumped on reports that increased solar power usage in Germany may dent profits in 2012. RWE propped up the Xetra Dax index after it fell 3.4 per cent to €27.30, as SocGen downgraded it to "sell" from "hold." E.on slipped 2.7 per cent to 15.98. The Xetra Dax was up 0.2 per cent at 6,365.51.