European indices recover on strong earnings, upbeat US jobs data

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European indices recover on strong earnings, upbeat US jobs data

On Friday, the 3rd of May 2019, most of the European stock exchanges had rounded off the day in a positive territory, overhauling damages of their worst day in one and a half months followed by the release of strong US job data and upbeat quarterly earnings reports of Adidas and HSBC.

The regional Pan-European STOXX 600 had wrapped up the day 0.4 percent higher, after rising as much as 0.6 percent after release of a much stronger-than-expected US job data, however, the STOXX 600 had failed to post a weekly rise after two consecutive weeks of gain, and, ended the week 0.2 percent lower.

Followed by US Labor Department’s release of a strong job data, easing concerns of a slowing US economy, the export-oriented Germany’s DAX had added 0.55 percent to 12,412.75, while Paris bourse surged by 0.18 percent to 5,548.84, and London’s FTSE 100 added 0.40 percent to 7,380.64.

Apart from a bolstered painting of US economy, European shares had gained further bullish wind from upbeat quarterly earnings of Adidas and HSBC as beforementioned, while shares of London-listed HSBC gained 2 percent after the global lender had posted a profit that beat analysts’ estimate, and French lender, Societe Generale also gained after unveiling that its capital balance sheet was stronger-than-anticipated.

Underscoring a bullish momentum spreading over the European stocks, an analyst at CMC Markets, London, David Madden said, “Not many European stocks are racking up all-time highs, and that underlines the bullish sentiment”.