European Stocks are on the Rise With Trading Optimism

European shares rose on Thursday as signs of progress in US-China trade talks covered concerns about global growth and Britain’s chaotic path towards EU departure. The STOXX 600 European index rose marginally with the Paris and Frankfurt indexes traditionally sensitive to trade, while the Milan index fell.

The British FTSE 100, the heaviest exporter, outperformed the British pound after Prime Minister Teresa Mai failed to sway her hardline foes over the EU secession deal by offering to resign, leaving Britain’s exit from the European Union deadlocked.

Efforts to persuade lawmakers to back the May deal will continue, but it remains uncertain how, or even, whether the UK, the world’s fifth-largest economy, will leave the EU. Bond yields, and what they say about global growth prospects, continued to hurt investors and hurt the appetite for risk.

The FTSE100 index, which earns more than two-thirds of its US dollar earnings, jumped 0.7% – its biggest one-day rise in a week – and the FTSE250 rose 0.4% at 0900 GMT.

The pound was under renewed pressure after May failed to influence its hardline rivals by agreeing to the European Union’s bid to resign, while none of the eight options to break the deadlock in Brixet had the support of the majority in parliament.

European shares fell 0.8%, led by Swedbank, which extended losses from a 12% drop in the previous session, prompted by fears of investigating suspected fraud after storming the Swedish bank’s headquarters in the investigation into money laundering.

US officials have told Reuters on Wednesday that the United States and China have made progress in all areas in trade talks, although there is no specific timetable for an agreement. Personal and domestic goods led gains on the main European stock market, with Imperial Brands British American Tobacco gaining more than 2%.

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European Stocks are on the Rise With Trading Optimism - /10

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European shares rose on Thursday as signs of progress in US-China trade talks covered concerns about global growth and Britain's chaotic path towards EU departure.

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