European stocks rose to an almost eight-week high as data signaled Germany is leading a revival in euro-area manufacturing and companies posted results that exceeded estimates.
Preliminary data today showed euro-area manufacturing is expanding this month for the first time since July 2011. A manufacturing index based on a survey of purchasing managers increased to 50.1 from 48.8 in June, Markit Economics said. Economists in a survey had predicted 49.1. A reading of 50 is the dividing line between expansion and contraction.
In Germany, manufacturing unexpectedly expanded in July and services growth accelerated.
National benchmark indexes climbed in all 18 western European markets today, except Greece. The U.K.’s FTSE 100 added 0.4 percent, while Germany’s DAX gained 0.8 percent and France’s CAC 40 rose 1 percent.
Volvo gained 5 percent to 97.90 kronor. Second-quarter earnings before interest and taxes of 3.26 billion kronor ($505 million) exceeded the 3.22 billion-kronor average analyst estimate in a survey. Revenue increased to 72.8 billion kronor, compared with the 71.6 billion kronor average estimate.
EasyJet advanced 3.7 percent to 1,385 pence. Europe’s second-largest discount airline said third-quarter sales rose 11 percent and that full-year earnings should beat analyst estimates as it adds customers on routes where network carriers are withdrawing.
Ryanair Holdings Plc, which posts quarterly results next week, rose 4.8 percent to 7.37 euros in Dublin. A gauge of travel and leisure companies posted the best performance on the Stoxx 600.
Syngenta, the biggest maker of crop chemicals, fell 4 percent to 371 Swiss francs, its largest decline since September 2011. Adjusted earnings of $15.92 a share in the first half missed the average analyst projection for $17.15, as cold weather across Germany and the U.S. hurt demand for its fungicides.
U.S. stock-index futures climbed as Apple (AAPL) Inc. posted profit that topped estimates and European manufacturing unexpectedly expanded.
Crude oil:
Nikkei 14,731.28 -47.23 -0.32%
Hang Seng 21,968.93 +53.51 +0.24%
Shanghai Composite 2,033.33 -10.55 -0.52%
FTSE 6,652.02 +54.58 +0.83%
CAC 3,969.95 +46.86 +1.19%
DAX 8,398.67 +84.44 +1.02%
Crude oil $106.59 -0.60%
Gold $1331.90 +0.01%
European stocks rose, rebounding from yesterday’s first drop in five days, as data signaled euro-area manufacturing is expanding for the first time in two years and companies from Volvo AB to EasyJet Plc posted results. U.S. index futures gained and Asian shares were little changed.
The Stoxx Europe 600 Index added 0.5 percent to 300.85 at 9:06 a.m. in London. The gauge declined yesterday as a measure of U.S. manufacturing unexpectedly slumped.
Preliminary data today showed euro-area manufacturing is expanding this month for the first time since July 2011. A manufacturng index based on a survey of purchasing managers increased to 50.1 from 48.8 in June, Markit Economics said. Economists had predicted 49.1. A reading of 50 is the dividing line between expansion and contraction.
In Germany, manufacturing unexpectedly expanded in July and services growth accelerated, signaling that the recovery in Europe’s largest economy is building momentum.
In the U.S., Commerce Department data may show purchases of new houses increased to a 482,000 pace last month, the highest level since June 2008, according to the median forecast.
Volvo gained 3.1 percent to 96.10 kronor. Earnings before interest and taxes fell to 3.26 billion kronor ($505 million) in the second quarter, from 7.71 billion kronor a year earlier. Profit beat the 3.22 billion-kronor average by analysts.
EasyJet rose 5.3 percent to 1,407 pence after saying sales rose to 1.14 billion pounds ($1.75 billion) in the third quarter. The low-cost carrier said in an interim statement that it predicts second-half revenue per seat to increase by as much as 6 percent from a year earlier, assuming constant currency levels.
ARM Holdings Plc, which designs chips used in Apple Inc.’s devices, advanced 2.7 percent to 922.5 pence. Revenue increased 26 percent to 171.2 million pounds in the second quarter, beating the 165.1 million pounds predicted by analysts, as demand grew for advanced graphics and processing technology.
FTSE 100 6,641.51 +44.07 +0.67%
CAC 40 3,957.18 +34.09 +0.87%
DAX 8,364.87 +50.64 +0.61%
Most Asian stocks fell, with the regional benchmark index retreating from a two-month high, after a private survey showed China’s manufacturing contracting at a faster-than-estimated pace.
Nikkei 225 14,731.28 -47.23 -0.32%
Hang Seng 21,978.76 +63.34 +0.29%
S&P/ASX 200 5,035.07 +17.96 +0.36%
Shanghai Composite 2,033.33 -10.55 -0.52%
PetroChina Co., the country’s No. 1 energy producer, sank 2.1 percent in Hong Kong as crude dropped.
Kao Corp., a maker of household and chemical products, fell 6.2 percent in Tokyo after giving an update on a product recall.
Murata Manufacturing Co., a Japanese supplier to Apple Inc., gained 3.8 percent after Apple’s profit topped estimates
Nikkei 225 14,778.51 120,47 0,82%
Hang Seng 21,930.69 514,19 2,40%
S & P / ASX 200 5,017.11 +15.25 +0.30%
Shanghai Composite 2,043.88 39,11 1,95%
FTSE 100 6,597.44 -25.73 -0.39%
CAC 40 3,923.09 -16.83 -0.43%
DAX 8,314.23 -16.83 -0.20%
DJIA 15,567.70 22.19 0.14%
S&P 500 1,692.42 -3.11 -0.18%
NASDAQ 3,579.27 -21.11 -0.59%