European shares rise on upbeat global mood, cyclicals jump
July 2, 2020
(Reuters) – European shares climbed on Thursday, as encouraging economic data from across the globe and hopes of a COVID-19 vaccine lifted sentiment ahead of the crucial U.S. jobs data.
The pan-European STOXX 600 <.STOXX> rose 0.9% by 0716 GMT, in its fourth consecutive day of gains. Banks <.SX7P>, automakers <.SXAP> and travel & leisure <.SXTP> were the top gainers, rising between 1.5% and 2%.
Financial markets entered the second half of the year on a positive note this week, as business surveys showed a coronavirus-induced slump in global manufacturing eased in June, while a COVID-19 vaccine was found to be well-tolerated in early stage human trials.
The U.S. payrolls data, due at 1230 GMT, is likely to show the economy created jobs at a record clip in June, although surging virus cases threaten to derail the recovery.
Among individual movers, Associated British Foods <ABF.L> jumped 7.1% as it said that trading in its Primark fashion stores that reopened after lockdown has been “reassuring and encouraging”.
German fashion house Hugo Boss <BOSSn.DE> rose 1.4% after it appointed Tommy Hilfiger executive Oliver Timm as its chief sales officer.
Scandal-hit Wirecard <WDIG.DE> slumped 25% after police and public prosecutors raided its headquarters in Munich and four properties in Germany and Austria.
(Reporting by Sruthi Shankar in Bengaluru; Editing by Bernard Orr)