European Stocks Gain as Earnings Beats Eclipse Rising Risks
European equities rose on Tuesday as positive company updates from the likes of HSBC Holdings Plc and Adidas AG provided some respite in the face of growing market risks.
The Stoxx Europe Stoxx Index was up 0.3% by 08:08 a.m. London time, with banks, financial services stocks and makers of personal care products leading gains.
Among individual movers, HSBC rallied as it announced a $3 billion stock buyback after its profit beat estimates, while Adidas also rose after its earnings showed strong growth. BP Plc shares slipped after the firm increased its debt pile in the third quarter, and Novartis AG also fell after its update.
Despite the boost from company results, European stocks have been rangebound for much of the past month as a plethora of risks confronts investors. In the UK, eyes will be on Wednesday’s budget and the expected package of tax rises and spending cuts, while traders will also be watching Eurozone inflation data due later in the week.
Meanwhile, with just a week to go, the US presidential election remains too close to call.
Source: Bloomberg
