Investment bank analysts have cooled their interest in stock exchanges and are making fewer buy recommendations.

Equity researchers covering the London Stock Exchange, New York Stock Exchange, Euronext and Chicago derivatives exchanges have become more cautious, making 41 hold recommendations compared with 16 buys. There were eight sells on the stocks. The LSE has almost trebled its share price of 380p from when German rival Deutsche Börse made an indicative takeover offer in December 2004. It has also warded off unsolicited bids from Australian investment group Macquarie and US stock market Nasdaq and its share price has since risen to more than £12. Nine analysts recommend holding the shares. Two analysts have placed a buy recommendation on the stock. Euronext, which has agreed a $10.2bn (€7.9bn) merger with the NYSE Group, has almost quadrupled its share price from €21 to €80 in the same period. Seven analysts recommend a hold on the stock and seven have it as a buy. It is also exploring a potential deal with Deutsche Börse and Borsa Italiana, although it reiterated its intention to conclude the NYSE merger before joining forces with any other European exchanges. NYSE's share price rose from $37 in March, when it floated, to $70 last week but analysts are wary of its performance. Two recommend investors to buy shares, seven said hold and two recommend sells. Analysts are more bullish over Deutsche Börse, which last week rejected a deal with Euronext proposed by an influential French lobby group. Fourteen analysts recommend buying Deutsche Börse's stock. Eight recommend a hold and six said sell.