European stocks edged higher on Tuesday as investors digested a slew of earnings updates and looked ahead to a Federal Reserve policy meeting to see what the updated language and economic forecasts look like.
The upside remained capped after White House Chief Medical Advisor Dr. Anthony Fauci pointed to Europe as warning to Americans that letting up mitigation measures early could put the U.S. on a similar course.
Germany’s Paul-Ehrlich Institute said it has noted a “conspicuous accumulation” of cases of a very rare cerebral vein thrombosis together with a lack of blood platelets known as thrombocytopenia and bleeding in temporal proximity to vaccinations with the Covid-19 vaccine AstraZeneca.
The European Medicines Agency (EMA) is currently evaluating data on the AstraZeneca vaccine and any link to blood clotting. A verdict is expected on Thursday.
The pan European Stoxx 600 rose 0.4 percent to 424.89 after ending on a flat note the previous day. The German DAX and the U.K.’s FTSE gained around half a percent, while France’s CAC 40 index was marginally higher.
Zalando shares surged 4.2 percent. The online fashion retailer has upgraded its growth objectives after solid 2020 results.
Automaker Volkswagen AG jumped 5.5 percent. The company expressed confidence that cost cuts will help it improve profit margins in the coming years.
Utility RWE declined 1.6 percent. The company reported that its fiscal 2021 adjusted net income was 1.2 billion euros, above the outlook of 0.85 billion euros to 1.15 billion euros.
Wacker Chemie slumped 6.2 percent. The chemicals company forecast mid-single-digit percentage sales growth in 2021.
Nokia gained half a percent. The Finnish telecommunications company has unveiled plans to cut around 5000 to 10,000 jobs within a period of two years.
Mining giant Antofagasta fell about 1 percent despite posting a 6 percent increase in net profit for 2020.
Bakery chain Greggs surged 4.8 percent after raising its U.K. stores target to 3,000 from 2,500 previously.
Plumbing group Ferguson added 1.6 percent after raising dividend and announcing a share buyback.
Natwest Group shares dropped 1.7 percent as the Financial Conduct Authority launched criminal proceedings against the company for allegedly failing to comply with anti-money laundering laws.
AstraZeneca rallied 3.4 percent. The chief scientist of the World Health Organization recommended that countries continue to use the AstraZeneca vaccine for now despite concerns about blood clots in some people who have received it.
In economic releases, French consumer prices grew 0.6 percent annually in February, the same rate as seen in January, final data from the statistical office Insee showed. This was bigger than the 0.4 percent estimated on February 26.
Month-on-month, consumer prices remained stable after a 0.2 percent rise in January. The monthly rate was revised from -0.1 percent.
Business News
European Shares Inch Higher In Cautious Trade
2021-03-16 10:15:45
