logo
  

European Shares Extend Gains On Earnings Optimism

marketopen 011519 14oct21 lt

European stocks rose on Thursday to extend gains from the previous session as expectations of a strong earnings season helped offset concerns about inflation and policy tapering by the Federal Reserve.

After JPMorgan kicked off big bank earnings with stellar results, investors await more U.S. earnings to assess how companies are positioned to deal with risks including inflation and higher energy prices.

UnitedHealth Group, Citigroup, Morgan Stanley and Bank of America are due to report ahead of the U.S. opening bell.

The pan European Stoxx 600 jumped 0.9 percent to 464.59 after rising 0.7 percent on Wednesday. The German DAX climbed 0.9 percent, France's CAC 40 index gained 0.8 percent and the U.K.'s FTSE 100 was up 0.7 percent.

Semiconductor firm ASML rallied 3.5 percent and BE Semiconductor advanced 2.3 percent after Taiwan chip giant TSMC's quarterly profit beat expectations.

Dutch navigation and digital mapping company TomTom rose 1.3 percent, reversing early losses after warning of supply chain problems.

French advertising company Publicis Groupe gained 3 percent. The company raised its outlook for 2021 after reporting 11.2 percent organic growth for the third quarter, with double-digit growth in all the regions.

Wind turbine manufacturer Nordex Group rallied 2.7 percent. The company said it received orders for 389 wind turbines, with a total rated output of 1,829 megawatts or MW, in the third quarter of 2021.

This compares to orders of 271 wind turbines, with 1,229 MW, reported for the same three-month period last year.

Miners Anglo American, Antofagasta and Glencore gained 3-4 percent while oil & gas firm BP Plc rose 1.2 percent and Royal Dutch Shell added 1.7 percent.

British homewares chain Dunelm Group rallied 1.2 percent after reporting growth in first-quarter sales.

Domino's Pizza Group dropped more than 1 percent. The fast-food chain said it expects labour shortages and higher food costs to continue into the new year.

Grainger jumped almost 4 percent. The property-investment company said that its occupancy rate has recovered to pre-coronavirus pandemic levels.

Recruiter Hays climbed 2.8 percent after reporting a jump in quarterly net fee.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT