European equities ended higher on Tuesday, supported by a raft of positive corporate catalysts that eased investor concerns over recent trade tensions, while shares of Puma jumped after the sportswear maker sold a stake to China’s Anta Sports.
The gains underscore how investors are leaning on company-specific factors to guide market sentiment amid an increasingly uncertain macroeconomic environment.
Dublin
Ryanair shares fell by 1 per cent despite indicating it expected fares to rise by more than previously forecast due to strong passenger demand. Food groups Glanbia and Kerry both dropped – by 1.6 per cent and 1 per cent respectively – despite news of the new EU-India trade deal, which is expected to benefit European food companies. Both AIB and Bank of Ireland traded positively, rising by 2.3 per cent and 3.6 per cent respectively.
Europe
The pan-European STOXX 600 benchmark was up 0.6 per cent at 613.11 points and touched its highest in over one week.
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Banks led sectoral gains with a 1.8 per cent rise and hit their highest since May 2008, with HSBC up 2.8 per cent as it briefly hit a $300 billion market value.
“The fundamentals for banks have really improved. We expect loan growth to pick up and we could see further positive earnings surprises from the sector this year,” said Ciarán Callaghan, head of European equity research at Amundi.
Puma’s shares rose 9 per cent and hit their highest level since last March, following a deal by Anta Sports Products to buy a 29 per cent stake in the German company for €1.5 billion. The deal is expected to help Puma increase its sales in the lucrative Chinese market.
“At this point in the cycle, we can expect deal making to pick up. Balance sheets are strong and management teams are looking to see where incremental growth can come from,” added Mr Callaghan.
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LVMH closed up 0.2 per cent. Its US-listed shares were last up 0.4 per cent in choppy trading after the luxury giant said it sold more goods than analysts expected in the fourth quarter, boosting hopes of a luxury sector rebound even as trade tensions, a weaker dollar and high gold prices hit its margins.
London
Stock prices in London closed mixed on Tuesday, with gold slightly retreating and investors’ eyes on the US Federal Reserve’s upcoming rate call.
“Gold prices remain elevated, even if they have eased a bit below their recent record highs, as investors await the Federal Reserve’s latest meeting and earnings reports from most of the big tech contingent,” said AJ Bell’s Dan Coatsworth.
The FTSE 100 index closed up 58.95 points, 0.6 per cent, at 10,207.80.
Gold was quoted at 5,093.94 dollars an ounce, slightly lower against 5,095.11 dollars.
Precious metals mining stocks lagged as a result. On the FTSE 100, Fresnillo lost 5.9 per cent and Endeavour Mining fell 4.4 per cent.
The London Stock Exchange Group was down 1.1 per cent on the FTSE 100, after unveiling plans on Monday to make it easier for international companies to join the FTSE 100 index by reducing the amount of shares that need to be publicly traded.
New York
The S&P 500 touched a record high and extended gains to a fifth session on Tuesday, as investors sifted through a slew of earnings, while a Medicare Advantage payment proposal from the Trump administration sent health insurers sharply lower.
The S&P 500 now hovers about 15 points shy of the 7,000 milestone – a mark that analysts have pegged as a potential pocket of technical resistance.
Meanwhile, the Nasdaq touched a near three-month high as earnings took centre-stage.
Bellwether United Parcel Service projected higher revenue for 2026, and rose 4.8 per cent. Peer FedEx added 3 per cent.
Boeing swung to a fourth-quarter profit, and gained 1 per cent, while General Motors advanced 9.2 per cent after reporting higher fourth-quarter core profit.
In airlines, American Airlines fell 3.6 per cent despite issuing a 2026 profit forecast that topped estimates. JetBlue fell 6 per cent on a wider-than-expected quarterly loss.
Airlines are contending with mass cancellations triggered by severe winter weather across the US east coast.
The Dow fell behind, pressured by an 18.7 per cent drop in UnitedHealth after the Trump administration floated only a modest increase in Medicare insurer payment rates.
Meta, Microsoft and Tesla report earnings on Wednesday, kicking off results from the so-called “Magnificent Seven”, which will test the AI trade that has underpinned Wall Street’s rally for much of the past year. – Additional reporting: Reuters
