European Shares Hit Fresh Record; Mediobanca Jumps on Paschi Bid
European stock advanced to a fresh record high and are set for a fifth weekly gain as traders hoped US President Donald Trump could take a softer-than-feared stance on tariffs.
The Stoxx Europe 600 Index was up 0.4% by 8:10 a.m. in London, with consumer stocks and miners leading the gains. Mediobanca SpA rose as much as 3.9% on an all-share takeover bid from Banca Monte dei Paschi di Siena SpA.
Elsewhere, Ericsson AB fell 7.7% as earnings missed analysts’ forecasts in the fourth quarter on weak recovery of sales in India. Burberry rose as much as 15% after sales dropped less than expected as the trench coat maker may have a rebound in demand for its pricey tartan scarves.
European shares had a strong start to the year, heading for their fifth consecutive week of gains, the longest winning streak since March. But the rally may have exhausted all the upside for the year, according to a Bloomberg survey of 20 strategists, who don’t see major catalysts for the Stoxx Europe 600 index to extend its good run.
Source: Bloomberg
