European Shares Advance As Growth Worries Ease
European stocks were mostly higher on Tuesday, as U.S. 10-year Treasury yields recovered slightly from 2017 lows hit in the previous session, helping ease fears over a possible U.S. recession.
The pan European Stoxx 600 was up 0.3 percent at 375.39 in opening deals after declining half a percent in the previous session.
The German DAX was little changed with a positive bias, erasing early losses. France’s CAC 40 index was gaining half a percent and the U.K.’s FTSE 100 was up 0.3 percent.
The British pound edged lower against both the euro and dollar after lawmakers voted to wrest control of the Brexit process from the government.
MPs will now vote on a range of Brexit options on Wednesday in order to give meaningful direction ahead.
Airbus rallied 2.4 percent after the planemaker received a huge order from China.
Commerzbank and Deutsche Bank fell around half a percent in Frankfurt. Deutsche Bank is facing resistance from top Qatari shareholders to its merger plans with Commerzbank AG, Bloomberg reported citing four people familiar with the matter.
Nordex Group soared nearly 5 percent. The wind turbine maker said that it began the New Year with a well-filled order book and thus expects considerable sales growth.
Housebuilders Baratt Developments and Persimmon rose 1-2 percent in London after MPs voted to take control of the parliamentary timetable. They will now decide on whether the U.K. can agree on a deal with closer ties to Brussels.
ConvaTec Group soared 7.2 percent on the buzz that Sweden’s private equity firm EQT is considering a possible bid for the company.
Ferguson lost 8.7 percent. The heating and plumbing equipment supplier said it expects trading profits to be at the lower end of analyst expectations this year.
Platinum miner Lonmin dropped 3 percent after investors overwhelmingly voted against the remuneration report.
Cash-strapped regional Africa airline Fastjet declined over 5 percent after it secured another extension on its loan agreement.
Online grocery service Ocado jumped 4.5 percent after signing a technology partnership agreement with Australia’s Coles Group.
In economic releases, German consumer confidence is set to slightly weaken in April, driven by some easing in households’ income expectations and the propensity to buy, survey results from the GfK showed.
The forward-looking consumer confidence index fell to 10.4 from a revised 10.7 in March, the Nuremberg-based market research group said. Economists had expected the reading to remain unchanged at March’s original 10.8.
Investors also shrugged off survey data showing that French manufacturing confidence weakened slightly in March, after remaining stable in the previous two months.
The factory confidence indicator fell to 102 from 103 seen in each of the previous three months. In November, the index reading was 105.
Economists had expected the score to remain unchanged in March.
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