Investing.com – European stocks were up on Wednesday, as banks continued to perform strongly while better than expected earnings reports boosted markets. U.S. index futures also advanced.
During European morning trade, the EURO STOXX 50 advanced 0.44%; France’s CAC 40 rose 0.58% while Germany's DAX was up 0.10%.
Earlier in the day, Deutsche Bank raised its recommendation on European banks to “neutral” from “underweight,” saying the industry looks “ripe for a sustainable recovery.”
On Tuesday, the Basel Committee on banking supervision agreed on a reform package which will give lenders as long as eight years to comply.
French banks advanced, with BNP Paribas gaining 2.66% while Societe Generale shares were up 2.36%. British bank Barclay's advanced 1.7%.
Spanish bank BBVA jumped 5.71% after its second quarter profits declined less than expected.
Air France shares gained 3.5% after the airline returned to operating profits in the first quarter. LMVH, the world's largest maker of luxury goods advanced 2.5% after reporting a 53% surge in first-half net income to EUR1.05 billion.
French auto manufacturer Peugeot shed 3.03% after it posted a first half net profit of EUR 680 million but said it expected the European market to contract 7% in 2010.
In London, the commodity heavy FTSE 100 was up 0.05% as miners preformed strongly, with Xstrata up 2.62%, Rio Tinto up 1.25% and Vedanta up 1.31%
The outlook for U.S. equity markets, meanwhile, was optimistic: Dow Jones Industrial Average futures indicated an increase of 0.15%, S&P 500 futures pointed to a gain of 0.18% and Nasdaq 100 futures indicated an advance of 0.19%.
Later in the day, the U.S. was to release data on durable goods orders, while the U.S. Federal Reserve was to release its Beige Book, a summary of the information the bank uses when setting the benchmark interest rate.
During European morning trade, the EURO STOXX 50 advanced 0.44%; France’s CAC 40 rose 0.58% while Germany's DAX was up 0.10%.
Earlier in the day, Deutsche Bank raised its recommendation on European banks to “neutral” from “underweight,” saying the industry looks “ripe for a sustainable recovery.”
On Tuesday, the Basel Committee on banking supervision agreed on a reform package which will give lenders as long as eight years to comply.
French banks advanced, with BNP Paribas gaining 2.66% while Societe Generale shares were up 2.36%. British bank Barclay's advanced 1.7%.
Spanish bank BBVA jumped 5.71% after its second quarter profits declined less than expected.
Air France shares gained 3.5% after the airline returned to operating profits in the first quarter. LMVH, the world's largest maker of luxury goods advanced 2.5% after reporting a 53% surge in first-half net income to EUR1.05 billion.
French auto manufacturer Peugeot shed 3.03% after it posted a first half net profit of EUR 680 million but said it expected the European market to contract 7% in 2010.
In London, the commodity heavy FTSE 100 was up 0.05% as miners preformed strongly, with Xstrata up 2.62%, Rio Tinto up 1.25% and Vedanta up 1.31%
The outlook for U.S. equity markets, meanwhile, was optimistic: Dow Jones Industrial Average futures indicated an increase of 0.15%, S&P 500 futures pointed to a gain of 0.18% and Nasdaq 100 futures indicated an advance of 0.19%.
Later in the day, the U.S. was to release data on durable goods orders, while the U.S. Federal Reserve was to release its Beige Book, a summary of the information the bank uses when setting the benchmark interest rate.