EUROPE MARKETS: European Stocks March Higher As German Businesses Take 'euphoric' Tone
July 25 2017 - 5:34AM
Dow Jones News
By Carla Mozee, MarketWatch
TechnipFMC slides on restatement plan
European stocks pushed higher Tuesday, with bank stocks gaining
ground while investors assessed upbeat developments from Germany
and Greece.
The Stoxx Europe 600 tacked on 0.4% to 380.85. All sectors rose,
led by the financial and basic resources groups. The benchmark on
Monday closed lower by 0.2%.
In Frankfurt, the DAX 30 was higher by 0.4% at 12,259.94,
holding to gains after the closely watched Ifo Institute described
German companies as "euphoric"
(http://www.marketwatch.com/story/german-business-sentiment-hits-record-high-in-july-2017-07-25).
The widely watched Ifo index of business sentiment in Europe's
largest economy to surged to a record high of 116.0 in July.
"The current acceleration in the German economy is not only the
result of strong private and public consumption, but also of an
unexpected industrial revival and stronger investment," said
Carsten Brzeski, chief economist at ING, in a note.
"The recent strengthening of the euro should not be a risk, as
the German export sector has frequently proven its ability in the
past to stomach stronger exchange rates," he added.
The euro bought $1.1665, up from $1.1645 late Monday in New
York.
Greek bond sale: Meanwhile, Greece is back in the international
bond markets
(http://www.marketwatch.com/story/greece-returns-to-international-bond-markets-after-3-year-hiatus-2017-07-25)
following a three-year hiatus, with a five-year bond sale starting
Tuesday. Greece's Athex Composite was down 0.3% at 846.40 on
Tuesday, but has jumped 31% this year.
Stock movers: Tuesday's top gainers included Banco de Sabadell
SA (SAB.MC) , as shares of the Spanish lender rose 2.9%.Sabadell is
part of a joint venture with Zurich Insurance Group (ZURN.EB) that
signed a reinsurance agreement with Swiss Re (SSREY) for its
individual life portfolio for 683.7 million euros ($797.1
million).
Sabadell's share-price rise helped lift the Stoxx Europe 600
Bank Index up 1.1%.
Randstand Holding NV (RAND.AE) leapt 6.8% as the Dutch
recruitment company's second-quarter revenue climbed nearly 15%
(http://www.marketwatch.com/story/randstad-revenue-rises-on-european-boost-2017-07-25).
TechnipFMC PLC (FTI.FR) tumbled 7.3% after the oilfield services
company said it would restate some prior results because of
material errors.
Provident Financial PLC (PFG.LN) fell 1.9% after the credit
provider reported a 46% drop in first-half pretax profit
(http://www.marketwatch.com/story/provident-financial-profit-drops-46-2017-07-25).
Off the Stoxx 600, shares of luxury shoe maker Jimmy Choo
(CHOO.LN) jumped 17% after it signed a $1.2 billion deal to be
acquired by U.S. fashion house Michael Kors Holdings Ltd. (KORS)
.
National indexes: The U.K.'s FTSE 100 climbed 0.8% to 7,432.017
and France's CAC 40 index rose 0.7% to 5,162.72.
(END) Dow Jones Newswires
July 25, 2017 05:19 ET (09:19 GMT)
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