Europe: Stoxx 600 up as automakers, materials gain; Trump policy shifts in focus
[BENGALURU] European shares ended higher on Thursday (Apr 24), boosted by automakers and materials stocks, as investors digested a mixed set of corporate earnings and evaluated the ever-shifting US trade rhetoric.
The pan-European Stoxx 600 index erased earlier losses to close 0.4 per cent higher, building on this week's rally.
An index of automobiles and parts led the gains with a 1.9 per cent jump, with French carmaker Renault advancing 4.4 per cent after reporting a small rise in first-quarter revenue.
The basic resources index added 1 per cent, making its fourth straight session of gains on the back of elevated copper prices despite US tariff-related uncertainties.
The White House suggested on Wednesday its openness to lowering sweeping tariffs on China. Treasury Secretary Scott Bessent said high tariffs between the US and China were not sustainable, but also pointed out that a reduction would not come unilaterally.
'Right now, markets are focused on whether a deal is forthcoming or not... the market just wants some certainty, be it certainty with a deal or certainty without a deal,' said Geoff Yu, senior Emea market strategist at BNY.
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Also aiding the broader mood was US President Donald Trump backtracking from his series of criticisms of Federal Reserve chair Jerome Powell, which included calls for Powell's resignation.
The European benchmark has recovered over half of its losses from its near 18 per cent drop from record highs earlier this month after Trump's import tariffs triggered fears of a global recession.
On the day, banks limited overall gains, falling 1 per cent. France's BNP Paribas fell 2.1 per cent after the lender reported mixed quarterly results.
The telecommunications index also lost 0.8 per cent, with Finnish telecom firm Nokia sliding 9.4 per cent after the company missed first-quarter profit expectations.
Shares in Adidas rose 2.9 per cent after the German sportswear and apparel maker reported first-quarter sales and profit above expectations.
Belimo jumped 12.4 per cent – the top individual gainer for the day – after the heating and ventilation solutions maker upgraded its 2025 guidance for revenue growth and Ebit margin.
Kering dipped 1 per cent, paring early losses, after the luxury group reported a bigger-than-expected decline in first-quarter revenue.
The German government cut its economic growth forecast and said it sees stagnation in 2025 instead of a 0.3 per cent expansion.
The German Ifo index data showed a surprise improvement in business morale in Europe's biggest economy for April, a day after dour PMI readings for the euro zone and Britain. REUTERS
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Business Times
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CNA
4 hours ago
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