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European stocks rise as foreign investors chase bargains



People walk past a sign encouraging social distance on a shopping street in Solihull, central England on 14 September 2020.

oli scarff / Agence France-Presse / Getty Images

European equities were up on Monday as foreign investors went shopping in a flurry of activity.

Down 3.6% last week in its worst performance since the beginning of June, the Stoxx Europe 600
SXXP,
+ 1.99%

rose by 1.5%.

The German DAX
DAX,
+ 2.81%
,
French CAC 40
PX1,
+ 2.10%

and the UK’s FTSE 100
UKX,
+ 1.54%

all advanced.

Futures on the Dow Jones Industrial Average
YM00,
+ 1.35%

increased by 222 points. Politics came in the spotlight after a Donald Trump report paid $ 750 in federal income taxes in each of his first two years as president, the day after he named Amy Coney Barrett to the US Supreme Court. Amid presidential attention, US lawmakers are still considering a second stimulus package.

In Europe, the ninth round of talks between the UK and the European Union is expected to start on Tuesday.

HSBC Holdings
HSBA,
+ 9.68%

5,
+ 9.22%

jumped 9% after Chinese insurance Ping An
2318,
-0.31%

pushed its holding up to 8% from 7.95%. HSBC’s shares fell to their lowest since 1995 on the back of a report on alleged money laundering activities at major banks last week.

The Global Times last week said HSBC could be added to China’s list of “untrustworthy entities”, so Ping An’s move has helped counter those concerns.

Commerzbank
CBK,
+ 5.62%

rose 4% after saying Deutsche Bank executive Manfred Knof will become its next chief executive. Knof headed the private banking arm of Deutsche Bank in Germany and also served as CEO of Allianz Deutschland.

ArcelorMittal steel company
MT,
+ 10.01%

it rose 10% after reaching an agreement to sell its US arm to the Cleveland-Cliffs mining company
CLF,
+ 2.97%

in an agreement worth $ 3.3 billion including assumed liabilities.

British bookie William Hill
WMH,
-10.66%

it fell 13% to 273p, following a 43% jump on Friday when it revealed that Caesars Entertainment and Apollo were talking about making separate offers. Caesars Entertainment
CZR,
+ 7.94%

Monday said it could offer 272p in cash per share, valuing the company at £ 2.9bn. Caesars said the deal, if struck, would better serve its customers in the fast-growing US sports and online betting market.

Diageo
DGE,
+ 7.29%

DEO,
+ 0.46%

jumped 5% after the alcoholic beverage giant said its outlook for the fiscal year improved, largely driven by its US operations, due to “resilient” consumer demand and the category of alcohol continues to gain share in the total alcohol market.


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