Oil and mining strength helps European stocks shrug off trade rhetoric
12/09/2018 08:02
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LONDON, Sept 12 (Reuters) - Robust oil and mining stocks
drove European shares up on Wednesday as investors shrugged off
a weaker session in Asia amid rising tensions between the United
States and China.
The pan-European STOXX 600 .STOXX and eurozone STOXX
.STOXXE were both up 0.2 percent by 0726 GMT, despite sharp
falls in Asian stocks after U.S. President Donald Trump said the
United States is taking a "tough stance" with China on trade.
Oil stocks .SXEP rose 1.2 percent after crude prices
climbed thanks to falling U.S. crude inventories, while miners
.SXPP climbed 1 percent.
Individual stocks posted big moves triggered by results and
M&A speculation.
Dutch biotech firm Galapagos GLPG.AS soared 16.2 percent
to the top of the STOXX after positive trial results for its
filgotinib drug to treat rheumatoid arthritis. urn:newsml:reuters.com:*:nFWN1VX0TA
British energy provider SSE SSE.L sank 8.5 percent after
it warned first-half profit would halve compared with last year,
calling its financial performance "disappointing and
regrettable". urn:newsml:reuters.com:*:nL3N1VY426
Peer Centrica CNA.L also fell 3.1 percent.
Shares in Zara owner Inditex ITX.MC meanwhile rose 2
percent to the top of Spain's IBEX .IBEX after the fashion
retailer said it expected profit margin growth in the second
half. urn:newsml:reuters.com:*:nL5N1VY0LX
Salvatore Ferragamo SFER.MI topped Italy's FTSE MIB
.FTMIB with a 4.3 percent rise, after traders cited rumours
about a potential M&A deal.
The family that controls the fashion group is not interested
in selling its stake, a spokeswoman for the group said.
urn:newsml:reuters.com:*:nI6N1VP001
Hexpol HPOLb.ST shares rose 3.9 percent after the Swedish
chemicals firm said it acquired U.S. rubber compounder Kirkhill
Rubber. urn:newsml:reuters.com:*:nASO0007JF
Broker research also moved some stocks. German utility E.ON
EONGn.DE fell 3.5 percent to the bottom of the DAX after
Morgan Stanley analysts cut their target price on the stock.
(Reporting by Helen Reid, editing by Louise Heavens)
((Helen.Reid@thomsonreuters.com; +44 20 7542 0402;))