Investing.com – European stock markets advanced on Tuesday, rebounding from a three-week low as market sentiment was lifted by expectations euro zone policymakers would reach agreement over a solution to avoid a Greek default.
During European morning trade, the EURO STOXX 50 jumped 0.78%, France’s CAC 40 gained 0.82%, while Germany's DAX 30 rose 0.65%.
Klaus Regling, head of the European Financial Stability Facility said on Monday that euro zone finance ministers agreed to boost the effective lending capacity of the region’s bailout fund to EUR780 billion from the current level of EUR440 billion.
Meanwhile, markets awaited the outcome of a parliamentary vote of confidence in Greek Prime Minister George Papandreou’s newly appointed government later in the day.
Shares in lenders, many of which have exposure to Greek debt, were broadly higher. France’s biggest retail bank, BNP Paribas saw shares climb 1.4%, Commerzbank shares rallied 2.1%, while Deutsche Bank gained 1.1%.
Peripheral euro zone lenders also performed strongly, with Spain’s Banco Santander climbing 1.5% and Unicredit gaining 1.2%.
Meanwhile, Finnish mobile phone manufacturer Nokia saw shares jump 2.5% after it unveiled its new N9 smartphone and announced plans to launch its first device based on Microsoft’s Windows Phone software later this year.
German retailer METRO saw shares advance 1.8% after Nomura Holdings upgraded the company to ‘buy’, saying the recent drop in the stock has been excessive.
In London, the commodity-heavy FTSE 100 rose 0.7% as shares in oil major British Petroleum rallied 3%.
BP’s gains came after it agreed to settle any potential claims with equipment maker Weatherford International over the Deepwater Horizon disaster in return for a payment of USD75 million.
Meanwhile, shares in hotel and restaurant operator Whitbread surged 5.9% after the group reported a 9.2% rise in sales for the 13 weeks to June 2.
On the downside, brewer SABMiller saw shares drop 3.1% after its USD10 billion offer to acquire Australian rival Foster’s Group was rejected.
The outlook for U.S. equity markets was modestly higher. The Dow Jones Industrial Average futures pointed to a gain of 0.28%, S&P 500 futures added 0.35%, while the Nasdaq 100 futures rose 0.3%.
Later in the day, the U.S. was to publish data on existing home sales, while the Federal Reserve is to begin its two-day policy setting meeting.
During European morning trade, the EURO STOXX 50 jumped 0.78%, France’s CAC 40 gained 0.82%, while Germany's DAX 30 rose 0.65%.
Klaus Regling, head of the European Financial Stability Facility said on Monday that euro zone finance ministers agreed to boost the effective lending capacity of the region’s bailout fund to EUR780 billion from the current level of EUR440 billion.
Meanwhile, markets awaited the outcome of a parliamentary vote of confidence in Greek Prime Minister George Papandreou’s newly appointed government later in the day.
Shares in lenders, many of which have exposure to Greek debt, were broadly higher. France’s biggest retail bank, BNP Paribas saw shares climb 1.4%, Commerzbank shares rallied 2.1%, while Deutsche Bank gained 1.1%.
Peripheral euro zone lenders also performed strongly, with Spain’s Banco Santander climbing 1.5% and Unicredit gaining 1.2%.
Meanwhile, Finnish mobile phone manufacturer Nokia saw shares jump 2.5% after it unveiled its new N9 smartphone and announced plans to launch its first device based on Microsoft’s Windows Phone software later this year.
German retailer METRO saw shares advance 1.8% after Nomura Holdings upgraded the company to ‘buy’, saying the recent drop in the stock has been excessive.
In London, the commodity-heavy FTSE 100 rose 0.7% as shares in oil major British Petroleum rallied 3%.
BP’s gains came after it agreed to settle any potential claims with equipment maker Weatherford International over the Deepwater Horizon disaster in return for a payment of USD75 million.
Meanwhile, shares in hotel and restaurant operator Whitbread surged 5.9% after the group reported a 9.2% rise in sales for the 13 weeks to June 2.
On the downside, brewer SABMiller saw shares drop 3.1% after its USD10 billion offer to acquire Australian rival Foster’s Group was rejected.
The outlook for U.S. equity markets was modestly higher. The Dow Jones Industrial Average futures pointed to a gain of 0.28%, S&P 500 futures added 0.35%, while the Nasdaq 100 futures rose 0.3%.
Later in the day, the U.S. was to publish data on existing home sales, while the Federal Reserve is to begin its two-day policy setting meeting.