Industrials, banks lift European shares as reflation trade heats up

  • 6/29/2021
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(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window) June 29 (Reuters) - A jump in industrial, financial and mining stocks lifted European shares on Tuesday as investors bought into sectors set to benefit from a steady economic recovery, while France’s Rexel rose on lifting its 2021 sales forecast. The French electrical parts supplier’s shares jumped 3.4% to the top of the STOXX 600 and said it expected same-day sales growth of between 12% and 15%, compared with its previous forecast of between 5% and 7%. The pan-European STOXX 600 was up 0.5%, with industrials, banks and miners gaining between 0.4% and 0.7%. Optimism around a steady economic recovery has put the European benchmark on course for its fifth straight month of gains, but it has recently struggled to break above its all-time closing high hit on June 16 on concerns of the global spread of the Delta variant of the coronavirus. Still, travel-related stocks recovered on Tuesday after sliding to a one-month low in the previous session following reports of a potential ban on UK travellers in Germany. London’s domestically focussed FTSE 250 index was up 0.3%, while housebuilders jumped 1.1% as data on Tuesday showed British house prices jumped by the most in more than 16 years in June. (Reporting by Sagarika Jaisinghani in Bengaluru; Editing by Shounak Dasgupta) Our Standards: The Thomson Reuters Trust Principles.

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