Miners drive European stocks up on trade war hopes, Renault falls

By Reuters / November 20, 2018 / in.investing.com / Article Link

(For a live blog on European stocks, type LIVE/ in an Eikon news window)

LONDON, Nov 19 (Reuters) - European shares started the week on the front foot, against spreadbetters' early expectations for a fall, as signs of an easing in U.S.-China trade war tensions boosted mining and technology stocks.

Miners drove the lion's share of gains in Europe, with the basic resources sector .SXPP up 1.2 percent and construction & materials .SXOP up 1 percent.

London copper edged up after U.S. President Donald Trump said he may not impose more tariffs on Chinese goods, but gains were capped amid tensions between the two major economies at a regional AEPC summit. pan-European STOXX 600 .STOXX was up 0.6 percent by 0830 GMT, after three straight down days, with miners and healthcare stocks the top gainers while the tech sector also benefited from trade war easing.

With the earnings season petering out, management issues, broker notes and M&A were the main drivers of the market.

Novo Nordisk NOVOb.CO shares climbed 4.6 percent, among top STOXX gainers, after JP Morgan upgraded the pharmaceuticals company to "overweight". RENA.PA shares fell 3.9 percent, the biggest STOXX 600 fallers, as Japan's Asahi newspaper reported Nissan chairman Carlos Ghosn is to be arrested for alleged financial trading violations. Italia TLIT.MI shares climbed 2.9 percent after Italy's biggest telecoms company appointed Luigi Gubitosi as its new CEO. Ferragamo SFER.MI shares fell 3.7 percent, bottom of Italy's FTSE MIB index, after Bank of America (NYSE:BAC) Merrill Lynch analysts cut the luxury stock to "underperform" after a four-day luxury goods field trip to China. UHR.S shares also lost 2.7 percent after BAML slashed its price target on the stock by 27 percent, saying watch retailers they met confirmed a significant slowdown in recent months.

Chipmaker stocks AMS AMS.S , STMicro STM.MI and Siltronic WAFGn.DE , which are highly sensitive to trade war news, were among top gainers, up 2.9 to 4.7 percent.

The gains were helping the sector claw back some of the ground lost last week after a series of profit warnings ahead of the crucial holiday season.

Recent News

Major investment banks make major gold price upgrades

April 15, 2024 / www.canadianminingreport.com

Gold stocks near flat as equities dip

April 15, 2024 / www.canadianminingreport.com

Revenue estimates for gold stocks have remained relatively flat

April 08, 2024 / www.canadianminingreport.com

Gold stock valuations remain low even after price surge

April 08, 2024 / www.canadianminingreport.com

Gold stock to global money supply far from bubble territory

April 01, 2024 / www.canadianminingreport.com
See all >
Share to Youtube Share to Facebook Facebook Share to Linkedin Share to Twitter Twitter Share to Tiktok