European shares edge higher as lower oil prices lift sentiment
EUROPEAN shares rose on Tuesday (Oct 13) as lower oil prices lifted appetite, though technology stocks came under pressure after reports of advances by...
European stocks ticked upward on Tuesday (Oct 13) as lower oil prices boosted sentiment, although technology equities faced headwinds. The Stoxx 600, a pan-European benchmark, edged up 0.44% to 638.44 points by 0714 GMT. London's FTSE 100 also gained around 1%, marking the strongest performance among regional indexes. Oil prices fell as traders considered supply risks stemming from attacks on Saudi Arabia and pondered the potential of additional diesel shipments from Russia.
The chemicals sector led the rally, surging 2% in the lead gains. Meanwhile, the technology sector declined 1.5%, mirroring a broader market sell-off after reports of advancements by China's ChangXin Memory Technologies (CXMT) sparked worries about intensifying competition from Beijing. OCBC analysts noted that "Technology stocks led the weakness, particularly memory-chip names, after China's CXMT announced progress on a denser DRAM design and plans to launch a new server-memory product by year-end, raising concerns over greater competition for established memory-chip producers."
Despite weaker-than-expected third-quarter sales, LVMH managed to edge higher, as declining consumer confidence in China dampened demand for its Louis Vuitton and Dior brands. Nokia's shares dropped 4.4% following the Finnish telecom equipment maker's agreement to sell its Enterprise Campus Edge business to private equity firm Aurelius.
Investors will also monitor September data from Germany, Europe's biggest economy, expected later in the day.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
