Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

European shares ease from peak; banks, miners boost UK stocks

Stock MarketsJul 13, 2021 04:41AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, July 12, 2021. REUTERS/StafF

By Sruthi Shankar

(Reuters) - European stocks eased from all-time highs on Tuesday ahead of a key U.S. inflation reading, but British banks kept UK's FTSE 100 afloat after a central bank move to scrap curbs on dividends.

The pan-European STOXX 600 index slipped 0.1% after hitting a record high in early trading.

Barclays (LON:BARC), HSBC, and Lloyds Banking Group (LON:LLOY) rose between 1.1% and 1.8% after the Bank of England scrapped pandemic-era restrictions on dividends from top lenders.

UK's FTSE 100 rose 0.3%, while other main regional indexes fell.

Investors are awaiting U.S. consumer price data for June — set to be released later in the day — to see if the recent rise in prices is persistent and strong enough to spur a faster-than-expected policy tightening by the Federal Reserve.

"We are less interested in when the peak is and much more interested in how enduring price pressures are likely to be," RBC Capital Markets analysts wrote in a note.

"We have no doubt that this 'peak' narrative is likely to be all the talk on Tuesday, but that misses a much bigger point: sticky prices are likely to linger for quite some time."

European Central Bank President Christine Lagarde said on Tuesday it has pledged to be "persistent" and will not repeat its past mistake of tightening policy too early.

Among individual stocks, Finnish telecom equipment maker Nokia (NYSE:NOK) jumped 6.6% after it said it planned to raise its full-year outlook.

Swiss watchmaker Swatch Group (SIX:UHR) rose 2.0% as it returned to profit in the first six months of 2021 and its sales jumped more than 50%. Rival Richemont climbed 0.4%.

Meanwhile, major U.S. banks, including JPMorgan (NYSE:JPM) and Goldman Sachs (NYSE:GS), will report earnings later in the day. European reporting season will kick into high gear later this month, with analysts expecting second-quarter profit for STOXX 600 companies to more than double from a year ago, as per Refinitiv IBES data.

Graphic: STOXX 600 YoY Earnings Growth Rates - https://fingfx.thomsonreuters.com/gfx/mkt/qmyvmdrykpr/Pasted%20image%201626161999487.png

Norwegian chipmaker Nordic Semiconductor surged 6.2% as its quarterly profit doubled.

Miners like Rio Tinto (NYSE:RIO), Anglo American (LON:AAL) and BHP Group (NYSE:BHP) got a boost from rising metal prices after better-than-expected trade data from top consumer China.

Healthcare stocks fell 0.7% after a near 1% surge in the previous session. Frankfurt-listed shares of genetic testing company Qiagen (NYSE:QGEN) NV dropped 3.0% after it lowered its outlook on weaker demand for COVID-19 tests.

German drug packager Gerresheimer declined 7.0% after its quarterly earnings report disappointed investors.

European shares ease from peak; banks, miners boost UK stocks
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email