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European Shares Advance On Recovery Hopes

stockmarkets dec21 07may21 lt

European stocks advanced on Friday as upbeat regional data boosted hopes of a stronger economic recovery.

The latest U.S. jobs data will be out later today, with economists expecting employment to jump by 978,000 jobs in April after an increase of 916,000 jobs in May. The unemployment rate is expected to dip to 5.8 percent from 6.0 percent.

The pan European Stoxx 600 edged up 0.4 percent to 442.90 after closing 0.1 percent lower on Thursday.

The German DAX rallied nearly 1 percent on the back of upbeat economic data, while France's CAC 40 index inched up 0.1 percent and the U.K.'s FTSE 100 was up half a percent.

Adidas surged 8.1 percent as the company raised its 2021 sales outlook despite ongoing lockdowns in Europe.

Similarly, automation company Siemens jumped 3 percent after lifting its revenue and profit guidance for the year.

Automaker BMW rose 1.1 percent after reiterating its full-year profit margin outlook.

Crédit Agricole shares were down over 1 percent despite the bank posting a strong trading performance for the first quarter as provisions for potential credit losses fell.

Mall owner Klepierre declined 0.7 percent after cutting its 2021 cashflow guidance due to extended lockdowns.

British Airways owner IAG was little changed after posting a narrower Q1 loss.

Aerospace engineer Meggitt soared 11.5 percent after reports that it could be a takeover target.

In economic releases, German industrial production grew 2.5 percent month-on-month in March, reversing a 1.9 percent fall in February, Destatis reported.

Output was forecast to climb 2.3 percent. On a yearly basis, industrial production advanced 5.1 percent, in contrast to a 6.8 percent fall in February.

Another report revealed that German exports increased 1.2 percent on a monthly basis in March, while economists had forecast the growth to ease to 0.5 percent from 1 percent in February. Year-on-year, exports advanced 16.1 percent, reversing a 1.2 percent fall in February.

A new study suggested that hiring in the U.K. surged last month. The IHS Markit/CIPS Construction Purchasing Managers' Index (PMI) eased to 61.6 in April from 61.7 in March.

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