The UK market is notably higher on Thursday, after European leaders made it clear that they want Greece to remain in the euro area. Investors largely shrugged off some discouraging economic data. Most major markets ended lower in Asia/Pacific, after China's manufacturing sector shrank for a seventh straight month in May.
European Council President Herman Van Rompuy said late Wednesday that European leaders want Greece to remain in the euro area while respecting its commitments. Rompuy added that it was vital for Greece to implement the reforms demanded in the bailout deals for overcoming its economic problems.
The Euro Stoxx 50 index of eurozone bluechip stocks is adding 1.21 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, is gaining 1.18 percent.
The FTSE 100 index is gaining 1.7 percent.
SAB Miller reported a sharp rise in annual profit. The stock is up 0.2 percent.
BHP Billiton is up 2.1 percent and Rio Tinto is gaining 1.7 percent. Randgold Resources is surging over 6 percent. Vedanta is gaining 3.3 percent.
Barclays is adding 2.2 percent and Royal Bank of Scotland is gaining 2.6 percent.
Cable & Wireless Communications is surging 15 percent. The company reported annual results.
Mothercare is climbing nearly 17 percent after the company detailed its three-year growth plan.
Elsewhere in Europe, the German DAX is adding 0.89 percent and the French CAC 40 is gaining 1.45 percent. Switzerland's SMI is adding 0.76 percent.
In economic news, Germany's business confidence declined more than expected in May, reports said citing the latest survey results from Ifo Institute. The Ifo business climate index fell to 106.9 in May from 109.9 in April, the first fall since October last year.
Meanwhile, Eurozone economic activity fell to a near three-year low in May, marking the fastest rate of contraction since June 2009, flash data from Markit Economics revealed.
The U.K. economy shrank more than initially estimated during the first quarter, the Office for National Statistics said. Gross domestic product declined 0.3 percent, slightly bigger than the previously estimated drop of 0.2 percent.
China's manufacturing sector shrank for a seventh straight month in May, as weak demand owing to the deepening Eurozone crisis and fragile global growth curtailed new orders received by Chinese firms. The Shanghai Composite Index fell 0.5 percent.
Australia's All Ordinaries slid 0.3 percent and Hong Kong's Hang Seng slipped 0.6 percent. However, Japan's Nikkei 225 edged up 0.1 percent.
In the U.S., futures point to a higher open on Wall Street, ahead of the release of the jobless claims and the durables goods orders data. In the previous session, stocks staged a significant recovery over the course of the afternoon and the major averages eventually ended the session mixed. While the Dow edged down 0.1 percent, the Nasdaq rose 0.4 percent and the S&P 500 crept up 0.2 percent.
In the commodity space, crude for July delivery is adding $0.66 to $90.56 per barrel and June gold is adding $13 to $1561.4 a troy ounce.
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Market Analysis
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.