European Stocks Surpass Closing Record on Earnings Optimism
European stocks rose above their highest closing level on record, boosted by optimism that corporate earnings are remaining resilient at a time of rising trade uncertainties with the US.
The Stoxx 600 gained 0.5% by 8:12 a.m. in London, surpassing a closing peak hit on Jan. 31. The index is still below its intraday record of 542.09 points.
On one of the busiest earnings days this season, Danish transport giant A. P. Moller-Maersk A/S jumped 7.4% as it announced a share buyback program of as much as 14.4 billion kroner ($2 billion) and forecast growth in the global container market.
Pernod Ricard SA shares rose as much as 3.3% even as it cut its sales outlook for the year, saying China’s slowdown was weighing on demand for its Martell Cognac. The shares had already fallen 7% this week and closed Wednesday at the lowest since December 2016. AstraZeneca Plc gained 2.2% as it reported better-than-expected profit and sales in the fourth quarter.
Basic resources and financial services sectors outperformed, while automakers were the biggest laggards.
Europe’s benchmark index has beaten the S&P 500 so far this year following one of the worst relative performances in 2024, with investors flocking to cheaper stocks as the artificial-intelligence trade in the US is wobbling. The fourth-quarter reporting season has also been resilient, with MSCI Europe firms posting a better-than-expected 0.2% growth in profits versus a year earlier, according to data compiled by Bloomberg Intelligence.
Sumber: Bloomberg
