(MENAFN– ecpulse)
European shares gained on Tuesday’s mid-day trading, as upbeat manufacturing data from global major economies like Spain, UK and China lent support, although last session`s weak euro-area inflation report limited gains.
As of 06:51 EST:
- STOXX Europe 600 gained 0.49 percent to 343.53
- STX Europe 50 rose 0.69 percent to 3,034.92
- Euro Stoxx 50 added 0.62 percent to 3,248.36
Data released earlier in the day showed Euro area manufacturing sector’s growth narrowed expansion to 51.8 in June. Germany’s manufacturing retreated to 52.0 from 52.3, while French manufacturing widened contraction at 48.2 from a proceeding of 49.6.
Asian stocks ended higher buoyed by China`s data showing manufacturing expanded in June at the fastest pace this year, adding to signs that the government`s efforts to ease a slowdown are helping to stabilize the world`s second-biggest economy. The Purchasing Managers` Index was at 51.0.
A separate report showed European unemployed lingered at 11.6 percent in May, while German unemployment unexpectedly increased for a second month amid signs of a slowdown in Europe`s largest economy. The number of people out of work rose a seasonally adjusted 9,000.
Yet investors focus remained on persistently low inflation ahead of central bank’s policy-setting meeting later this week.
The European Central Bank’s monetary decision on Thursday will be put under the microscope, as it will probably give hints about the measures introduced on June 5. Last month, the ECB decided to cut the benchmark interest rate to 0.15 percent from 0.25 percent and the deposit rate to -0.10 percent from 0.00 percent.
Regarding other major European indices:
- Germany`s DAX edged 0.31% higher to 9,863.62
- British FTSE 100 was up 54% to 6,780.48
- France’s CAC 40 index inched 68% up to 4,453.08
Shares of France’s biggest bank BNP Paribas climbed in Europe, in the wake of the bank’s nearly $9 billion settlement with U.S. authorities.
Shares at UK online retailer, Ocado, tumbled nearly 5 percent despite announcement the company made first half profit.
The company swung back into the black with pre-tax profits reaching £7.5 million compared to a £1 million loss in 2013. Ocdo shares fell 15.90 points to trade at 355.50 after opening at 379.80
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