Europe close: Stocks mostly higher after upbeat earnings
European stocks were mostly higher after better-than-expected earnings and positive news out of Japan.
FTSE 100
8,078.86
17:14 25/04/24
Fugro
€23.40
08:00 09/09/22
Royal Boskalis Westminster
€32.82
08:00 09/09/22
Vodafone Group
69.00p
16:40 25/04/24
Earnings were in focus on Tuesday as it was a quiet day of economic data with the markets awaiting the release of the Bank of England’s Inflation Report and labour market data out on Wednesday.
“Volatility is expected to pick up in the UK tomorrow heading into the Bank of England’s quarterly inflation report preceded by UK unemployment and wage data while the important European data will be seen in Friday from the latest Eurozone GDP figures including Germany’s,” said Jasper Lawler, analyst at CMC Markets.
Vodafone advanced after reporting a slowdown in half-year services revenue that was less than analysts had predicted.
Royal Vopak NV gained after reporting an increase in earnings before interest and taxes (EBIT) in the third quarter.
Henkel AG climbed after posting third-quarter earnings that beat estimates and raising its full-year margin forecast.
On the macro-front, stocks were given a lift by news that Japanese Prime Minister Shinzo Abe will hold back on a sales tax increase.
It is understood Abe will delay a planned increase in the nation’s sales tax as the economic recovery remains fragile.
Highlighting the weakness in the world’s third largest economy was a report showing an unexpected drop in consumer confidence. The sentiment index fell to 38.9 in October from 39.9 a month earlier, compared to forecasts of 40.5.
Fugro slips on bid
Fugro slumped after Boskalis Westminster NV, which purchased a 14.8% stake in the Dutch deepwater-oilfield surveyor, said it has no plans to bid for the company.
A gauge of commodity producers declined after Citigroup said iron ore prices will plunge below $60 metric tonne a year. BHP Billiton and Rio Tinto were among the big fallers.
The euro rose 0.23% to $1.2450.
Brent crude futures fell 1.8% to $80.87 per barrel, according to the ICE.