Investing.com – European stock markets rose on Tuesday, continuing a broadly positive global tone as investors digest a flood of corporate earnings.
At 03:20 ET (0720 GMT), Germany was trading 0.5% higher, France was 0.6% higher and the UK was up 1.1% after the weekend on Monday.
Industrial orders in Germany fell in March
The major Wall indexes rose sharply on Monday, most Asian shares rose on Tuesday and Europe followed suit amid optimism that softer-than-expected US data on Friday will eventually lead to lower US interest rates.
However, growth in Europe was limited after industrial orders in Germany fell 0.4% in March from the previous month, well below expectations for 0.4% growth, showing growth in the largest economy the eurozone remains difficult to find.
Germany, the eurozone’s largest economy, returned to growth in the first quarter with a better-than-expected 0.2% rise, data showed late last month, but fourth-quarter figures were revised to show a deeper decline at the end of 2023.
They are expected to post a 0.6% month-on-month increase in March, a rebound from the 0.5% decline seen the previous month.
UBS records quarterly profit
We had even more quarterly earnings to digest.
Shares in UBS (SIX:) rose 6% after the Swiss lender reported net profit for the first three months of the year that was nearly triple forecast, as the bank posted its first quarterly profit since taking over fallen rival Credit Suisse.
remove advertising
.
BP (NYSE:) shares rose just under 1% despite the energy giant reporting a fall in first-quarter profit, with results coming in below expectations on the back of “significantly weaker” fuel margins and lower gas prices and oil.
Infineon (OTC:) shares rose 6% after Germany’s largest semiconductor maker announced a cost-saving program and cut its full-year revenue forecast, blaming continued weak industry demand.
UniCredit SpA (BIT:) shares rose 3% after the Italian bank raised its 2024 outlook, reporting better-than-expected profits for the first quarter of the year.
Deutsche Post (OTC:) shares fell 1% after the German logistics group reported lower profits for the first three months of the year as geopolitical tensions, inflation and high interest rates continued to drag on global trade.
Oil prices rise after Israeli strikes on Rafah
Crude oil prices rose on Tuesday after Israeli strikes on the southern Gaza Strip city of Rafah raised doubts about a potential ceasefire in the region.
By 3:20 a.m. ET, futures were trading 0.1% higher at $78.53 a barrel, while the contract was up 0.2% at $83.49 a barrel.
Palestinian militant group Hamas on Monday agreed to a mediators’ proposal for a ceasefire in Gaza, but Israel said the terms did not meet its demands, planning to continue talks on an agreement.
The lack of a resolution between the sides in the seven-month-long conflict has supported oil prices as investors fear a regional escalation of the war will disrupt crude supplies to the Middle East.
However, indexes posted their sharpest weekly losses in three months last week as investors fretted over the prospect that higher interest rates would curb long-term growth in the United States, the world’s biggest oil consumer.
remove advertising
.
Additionally, shares rose 0.2% to $2,326.55 an ounce and traded 0.1% lower at 1.0766.