Latest news with #EuropeanShares
Irish Times
2 days ago
- Business
- Irish Times
European shares rise amid Trump's China statements
European shares made cautious gains after US president Donald Trump said on Friday that China had violated an agreement on tariffs and issued a new threat to get tougher with Beijing. Europe's defensive sectors, such as utilities and healthcare, outperformed the big performers amid the tension between the world's two biggest economies. DUBLIN The Iseq All-Share index ended the session at 11,411.72, dropping 63.45 or 0.55 per cent. The index opened on a high, but a late surge was unable to counteract steady losses throughout the day. READ MORE Ryanair was one of the biggest losers in the day, and by far the most traded stock, dropping 1.56 per cent to €23.37. It came following the news that shares in the budget airline closed above €21 for a 28th consecutive day on Thursday, meeting a key performance target, with boss Michael O'Leary reportedly set to net a €100 million bonus as a result. Home builders declined on Friday, Cairn Homes dropped 2.89 per cent to €2.185. Kingspan Group fell 1.50 per cent to €75.50 and Irish Residential Properties REIT plc dropped 0.74 per cent to €1.072. Glenveagh Plc also retreated, dropping to €1.798, a decrease of 0.33 per cent. These losses were counteracted by defensive stocks Glanbia and Kerry Group, up 1.59 per cent to €12.80 and 0.05 per cent to €96.20 respectively. LONDON British equities ended higher on Friday. The blue-chip FTSE 100 gained 0.6 per cent and the midcap FTSE 250 rose 0.1 per cent. The benchmark index posted its best month in four. The mid-cap index posted its best month since July 2024. M&G said it had partnered with Japanese life insurer Dai-ichi Life to accelerate the group's expansion into European private markets, and give it greater access to markets in Japan and across Asia. Dai-ichi Life plans to buy a 15 per cent stake in M & G as part of the deal, the firm said, which would make it the largest shareholder in the British investment firm. Shares in M & G rose 5.5 per cent on Friday, making it the biggest riser on the FTSE 100. BP announced it has appointed David Hager to its board of directors, who joins following a 40-year career in the oil and gas industry, including as the former chief executive of Devon Energy. Mr Hager 'brings deep-rooted knowledge of the US upstream oil and gas industry', BP's chair Helge Lund said. BP's shares closed 0.5 per cent higher. EUROPE The continentwide STOXX 600 index ended 0.1 per cent higher, brushing off a temporary reinstatement of the most sweeping of Trump's tariffs on Thursday, a day after another court ordered an immediate block on them. On the day, most sectors were higher, with utilities and healthcare shares up 0.8 per cent each, while construction and materials stocks were at the bottom, down 1 per cent. Europe's aerospace and defence index was the top winning sector for the month, up about 14 per cent, as dimming hopes of a truce between Russia and Ukraine persuaded investors to buy ammunition stocks. M&G gained 5.5 per cent after it said Japanese life insurer Dai-Ichi Life Holdings will take a 15 per cent stake in the British insurer and asset manager as part of a strategic deal. French pharmaceutical company Sanofi fell 4.8 per cent to a more than one-year low after its experimental drug Itepekimab failed to meet certain conditions. Carrefour fell 6 per cent to the bottom of the STOXX 600 as the French food retailer traded without entitlement to its latest dividend payout on Friday. NEW YORK Wall Street's main indexes were under pressure in late-afternoon trading on Friday as Mr Trump accused China of violating a tariff agreement, ramping up tensions in a bruising trade war and clouding the last day of an otherwise strong month for equities. Most megacap and growth stocks fell, with Nvidia dropping in the aftermath of its results-driven rally on Thursday. Seven of the 11 big S&P 500 subsectors fell, with energy and information technology declining the most. Among other big movers on the day, Ulta Beauty jumped after the cosmetics retailer raised its annual profit forecast after beating quarterly results. Shares of drugmaker Regeneron fell sharply after its experimental drug for patients with a type of lung condition commonly called 'smoker's lung' failed a late-stage trial, although it succeeded in another. – Additional reporting: Reuters, Bloomberg, PA.
Reuters
3 days ago
- Business
- Reuters
STOXX 600 edges down on US trade uncertainties; set for monthly gains
May 30 (Reuters) - European shares dipped on Friday as caution prevailed after a U.S. court reinstated President Donald Trump's tariffs, even as the benchmark index neared a robust monthly gain. The continent-wide STOXX 600 index (.STOXX), opens new tab was down 0.1%, as of 0711 GMT, pressured by a temporary reinstatement of the most sweeping of Trump's tariffs a day after another court ordered an immediate block on them. However, the benchmark index was set for its first monthly advance in three, up 3.8% so far, capitalising on easing trade tensions and the recent U.S. fiscal concerns that forced investors to move away from American assets. On Friday, data showed German retail sales fell by 1.1% in April compared with the previous month. Investors also looked ahead to Germany's May inflation figures, to be released later in the day, that could offer more clues about the European Central Bank's policy decision next week. Among sectors, basic resources (.SXPP), opens new tab was the biggest drag and fell 0.9%, dragged by lower copper prices. The real estate (.SX86P), opens new tab supported the main index by rising 0.8%. M&G (MNG.L), opens new tab jumped 8.2% after it said Japanese life insurer Dai-Ichi Life Holdings (8750.T), opens new tab will take a 15% stake in the British insurer and asset manager as part of a strategic deal.
Yahoo
4 days ago
- Business
- Yahoo
European stocks to scale new heights in 2026, trade tensions temper loftier hopes: Reuters poll
By Lucy Raitano LONDON (Reuters) - European shares are expected to rise slightly by the end of 2025 before scaling new heights in 2026, boosted by monetary easing and higher fiscal spending, but tariff and trade uncertainties are tempering hopes for bigger gains, a Reuters poll found. The pan-European STOXX 600 index is expected to rise to 557 points by end-2025, according to the median forecast in the poll of equity analysts and portfolio managers. That would imply a gain of around 0.9% from current levels and below a record high of 565.18 touched on March 3. The poll was taken before a U.S. federal court on Wednesday blocked President Donald Trump's April 2 across-the-board duties on imports from U.S. trade partners from going into effect. The STOXX 600 has rallied nearly 9% this year, outperforming a 0.7% rise in the S&P 500, as euro area stimulus boosts long-term growth prospects and investors drop U.S. assets amid uncertainty over Washington's next moves. The index is seen hitting a record 570 by mid-2026 and ending the year at the same level, the poll showed. Expectations were down from earlier this year when the STOXX 600 was seen rising to 610 by mid-2026. The blue-chip Euro STOXX 50 benchmark index is also expected to post a further 0.6% gain in 2025 before reaching new heights in 2026 to end the year at 5,700; 5.3% up from Tuesday's close of 5,415.45. TRADE TENSIONS While European stocks are benefiting from the "Sell America" theme, trade tensions and an uncertain outlook for corporates are keeping hopes of further gains in check. The STOXX 600 slumped as much as around 2.7% on Friday after Trump threatened 50% tariffs on the EU, only to delay their implementation on Sunday, news that sent European stocks higher on Monday. Markets have been whipsawed since Trump's April 2 'Liberation Day' tariff announcement. "Given what we saw in early April, investors should be very aware of how quickly sentiment can shift," said Michael Field, chief equity market strategist, EMEA, Morningstar. "We are still waiting for resolutions between the EU and the U.S. in terms of trade, and this could most certainly be a catalyst for a market shock." As well as the potential impact on stock markets, poll respondents expressed wariness about the impact on companies. "The outcome of trade negotiations, especially between the U.S. and Europe, will have a major impact on most European businesses. Adaptation to the new rules will take time and incur costs," said Tomas Hildebrandt, senior portfolio manager, Evli. ON THE POSITIVE SIDE Despite trade jitters, Germany's planned increase in spending on defence and infrastructure and the spillover to the wider euro zone is seen as a major plus for stocks Kevin Thozet, a member of the investment committee at Carmignac, said the fiscal impetus will last for decades, and feed into company earnings. "After two years of stagnating economic growth, Europe appears to be finally emerging as an economic powerhouse, with Germany having taken many by surprise with the size and the speed at which its fiscal U-turn unfolded," he said, flagging the industrials sector as a beneficiary of the spending boost. However, Marco Vailati, head of research and investments at Cassa Lombarda, said a lot of positive news had already been priced in, and the euro's recovery would also weigh. Market participants polled expect Germany's DAX to fall 5.1% by year-end. The index hit a record high above 24,300 on Wednesday and has risen over 20% so far in 2025. Expectations of more European Central Bank rate cuts have also underpinned sentiment. Carmignac's Thozet said lower rates should support credit demand and push down the savings rate. The ECB is widely expected to lower interest rates next week for the eighth time in this economic cycle by 25 basis points to 2%. (Other stories from the Reuters Q2 global stock markets poll package) Sign in to access your portfolio
Reuters
4 days ago
- Business
- Reuters
European stocks to scale new heights in 2026, trade tensions temper loftier hopes
LONDON, May 29 (Reuters) - European shares are expected to rise slightly by the end of 2025 before scaling new heights in 2026, boosted by monetary easing and higher fiscal spending, but tariff and trade uncertainties are tempering hopes for bigger gains, a Reuters poll found. The pan-European STOXX 600 (.STOXX), opens new tab index is expected to rise to 557 points by end-2025, according to the median forecast in the poll of equity analysts and portfolio managers. That would imply a gain of around 0.9% from current levels and below a record high of 565.18 touched on March 3. The poll was taken before a U.S. on Wednesday blocked President Donald Trump's April 2 across-the-board duties on imports from U.S. trade partners from going into effect. The STOXX 600 has rallied nearly 9% this year, outperforming a 0.7% rise in the S&P 500 (.SPX), opens new tab, as euro area stimulus boosts long-term growth prospects and investors drop U.S. assets amid uncertainty over Washington's next moves. The index is seen hitting a record 570 by mid-2026 and ending the year at the same level, the poll showed. Expectations were down from earlier this year when the STOXX 600 was seen rising to 610 by mid-2026. The blue-chip Euro STOXX 50 (.STOXX50E), opens new tab benchmark index is also expected to post a further 0.6% gain in 2025 before reaching new heights in 2026 to end the year at 5,700; 5.3% up from Tuesday's close of 5,415.45. While European stocks are benefiting from the "Sell America" theme, trade tensions and an uncertain outlook for corporates are keeping hopes of further gains in check. The STOXX 600 slumped as much as around 2.7% on Friday after Trump threatened 50% tariffs on the EU, only to delay their implementation on Sunday, news that sent European stocks higher on Monday. Markets have been whipsawed since Trump's April 2 'Liberation Day' tariff announcement. "Given what we saw in early April, investors should be very aware of how quickly sentiment can shift," said Michael Field, chief equity market strategist, EMEA, Morningstar. "We are still waiting for resolutions between the EU and the U.S. in terms of trade, and this could most certainly be a catalyst for a market shock." As well as the potential impact on stock markets, poll respondents expressed wariness about the impact on companies. "The outcome of trade negotiations, especially between the U.S. and Europe, will have a major impact on most European businesses. Adaptation to the new rules will take time and incur costs," said Tomas Hildebrandt, senior portfolio manager, Evli. Despite trade jitters, Germany's planned increase in spending on defence and infrastructure and the spillover to the wider euro zone is seen as a major plus for stocks Kevin Thozet, a member of the investment committee at Carmignac, said the fiscal impetus will last for decades, and feed into company earnings. "After two years of stagnating economic growth, Europe appears to be finally emerging as an economic powerhouse, with Germany having taken many by surprise with the size and the speed at which its fiscal U-turn unfolded," he said, flagging the industrials sector as a beneficiary of the spending boost. However, Marco Vailati, head of research and investments at Cassa Lombarda, said a lot of positive news had already been priced in, and the euro's recovery would also weigh. Market participants polled expect Germany's DAX (.GDAXI), opens new tab to fall 5.1% by year-end. The index hit a record high above 24,300 on Wednesday and has risen over 20% so far in 2025. Expectations of more European Central Bank rate cuts have also underpinned sentiment. Carmignac's Thozet said lower rates should support credit demand and push down the savings rate. The ECB is widely expected to lower interest rates next week for the eighth time in this economic cycle by 25 basis points to 2%. (Other stories from the Reuters Q2 global stock markets poll package)
Irish Times
4 days ago
- Business
- Irish Times
European stocks dip following two-day rally as investors eye US-EU trade talks
European shares dipped on Wednesday, following a two-day relief rally after US President Donald Trump delayed tariffs on the EU, with investors returning to a wait-and-see approach on trade talks. The pan-European Stoxx 600 index ended the session down 0.6 per cent. Dublin The Iseq All-Share index ended the session down 0.4 per cent at 11,367.46. Banking stocks were mixed, as investors upped bets on the European Central Bank (ECB) will cut interest rates next week. AIB lost almost 1 per cent to €6.70. However, Bank of Ireland managed to eek out a 0.2 per cent gain, to €11.80. Still, house building stocks advanced, with Cairn Homes rising 2 per cent to €2.29 and Glenveagh Properties moving 0.9 per cent higher to €1.80. READ MORE Ryanair lost 0.5 per cent to €23.72. London The FTSE 100 in London fell 0.6 per cent. Retail stocks, such as Sainsbury's, were among the notable fallers as industry data showed another jump in food inflation in recent weeks. In company news, home improvement giant Kingfisher was lower at the end of trading despite a rise in sales. The B&Q owner said the chain was boosted by rocketing demand for its garden and seasonal ranges in the UK due to warm weather, although trading challenges remained across its operations in France. Kingfisher shares finished down 3.5 per cent on Wednesday. Elsewhere, Pets at Home added 1.6 per cent as growth in its vet arm continued to boost revenues and profits. It helped the UK's largest pet retailer to offset a 'subdued' market for pet products this year as conditions continue to 'normalise' following a boom in puppy and kitten ownership during the Covid pandemic. Of Irish interest, Dublin-based, but London-listed C & C Group moved 3.2 per cent higher after progress in its turnaround plan helped drive a recovery in profits. Europe European carmakers rose 0.7 per cent on the whole, following reports on Tuesday that EU policymakers had asked the region's leading companies to provide details of their US investment plans. German automakers including BMW, Mercedes-Benz and Volkswagen are in talks with Washington on a possible import tariff deal. Germany's main stock index retreated 0.8 per cent after hitting a record high earlier in the session, while the mid-caps index hit its highest since April 2022. In France, the CAC 40 index closed 0.5 per cent lower, reversing earlier gains after gross domestic product figures showed slight growth in the first quarter, as expected. Swedish medical equipment marker Elekta shares jumped 5.9 per cent after beating estimates for fourth-quarter sales. Stellantis dipped 2.2 per cent. The Jeep-maker named insider Antonio Filosa as its top boss. New York Wall Street's main indexes were lower in early afternoon trading, as investors awaited AI bellwether Nvidia's results and minutes from the US Federal Reserve's last policy meeting. Most megacap and growth stocks shed initial gains and were mostly flat. Salesforce was dipped and is also scheduled to report earnings after the bell. All three main Wall Street indexes soared in the previous session after Mr Trump backed down over the weekend from his threat of 50 per cent tariffs on imports from the EU. Yields on long-dated US Government bonds were slightly higher after scaling multi-month highs last week. Global bond markets have been in the spotlight over concerns about fiscal sustainability in big economies including the United States and Japan. In earnings, Michael Kors-owner Capri Holdings advanced after its fourth-quarter revenue beat analyst estimates. Shares of sportswear retailer Dick's Sporting Goods gained after its first-quarter results beat estimates. Cybersecurity firm Okta flagged risks related to the uncertain economic environment but stuck to its full-year outlook. Its shares dropped. Additional reporting, Reuters, Press Association
