European Stocks Rally for a Third Week; BT Group Climbs

European stocks rallied for a third week, closing at their highest level in almost five years, as companies from BT Group Plc to Hochtief AG posted earnings that beat estimates, while economic data exceeded expectations.

BT surged 13 percent as the fixed-line phone operator proposed a higher full-year dividend. Hochtief gained 7.5 percent after it posted a first-quarter profit and sold its airport division. Alcatel-Lucent SA rose 14 percent as its chief executive officer said that he may sell assets. National Bank of Greece SA led Greek stocks higher, surging 48 percent.