Investing.com - European stocks opened higher on Thursday, led by gains in the financial sector and boosted by the previous session’s strong gains on Wall Street, although concerns over protectionist measures under the Trump administration continued to loom.
During European morning trade, the EURO STOXX 50 added 0.18%, France’s CAC 40 rose 0.33%, while Germany’s DAX 30 climbed 0.55%.
Trump on Wednesday ordered construction of a U.S.-Mexican border wall and punishment for cities shielding illegal immigrants.
In addition, Trump was expected to sign an executive order in the coming days to block the entry of refugees from Syria and suspend the entry of any immigrants from Muslim-majority Middle Eastern and African countries.
Markets were jittery after Donald Trump’s inauguration last Friday amid concerns over a lack of clarity on his economic policies and fears that his protectionist trade stance could hit corporate profits and act as a drag on growth.
Financial stocks were broadly higher, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) rallied 1.31% and 2.02%, while Germany’s Deutsche Bank (DE:DBKGn) and Commerzbank (DE:CBKG) surged 2.70% and 3.10%.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) and Unicredit (MI:CRDI) advanced 0.70% and 2.08% respectively, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) jumped 1.79% and 1.90%.
Elsewhere, Merck (NYSE:MRK) saw shares climb 1.43% following news that former Buffalo Bills quarterback Jim Kelly discussed his new partnership with the drugmaker to create ‘Your Cancer Game Plan’ in an effort to help people with cancer stay informed during their fight against the disease.
In London, FTSE 100 edged up 0.08%, boosted by Diageo (LON:DGE), whose shares surged 4.30% after the alcoholic beverages company reported a 28% increase in operating profit for the first half of its fiscal year and a hike in its dividend.
Financial stocks added to gains, as Lloyds Banking (LON:LLOY) climbed 0.69% and HSBC Holdings (LON:HSBA) advanced 0.80%, while Barclays (LON:BARC) and the Royal Bank of Scotland (LON:RBS) rallied 1.04% and 1.63% respectively.
RBS seemed to ignore earlier reports that it could take another multi-billion pound charge for mis-selling.
Meanwhile, mining stocks were mixed on the commodity-heavy index. Shares in Anglo America gained 0.55% and Rio Tinto (LON:RIO) advanced 0.78%, while BHP Billiton (LON:BLT) declined 0.75% and Fresnillo (LON:FRES) tumbled 1.62%.
Whitbread (LON:WTB) was one of the worst performers on the index, with shares down 4.83% even as the hotel and coffee shop operator posted a 8.6% climb in total sales for the third quarter.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.26% increase, S&P 500 futures showed a 0.15% rise, while the Nasdaq 100 futures indicated a 0.36% gain.