Author: Peter Nurse
Investing.com – European stock markets traded higher on Tuesday, continuing a positive start to the new year with strong German retail sales boosting hope for a stable economic recovery despite rising Covid-19 cases.
At 3:45 a.m. Eastern Time (08:45 GMT), Germany traded 0.2% higher, France rose 0.7% to its highest high in history, while the UK rose 1.3%. Pan-European also climbed the record, an increase of 0.9%.
it rose unexpectedly in November, rising 0.6% month-on-month, raising annual retail sales to record highs despite renewed Covid-19 restrictions that halted the recovery of Europe’s largest consumer-led economy.
it also stabilized in December, with annual growth of 3.4% in the eurozone’s second-largest economy, slightly below the expected 3.5%. The European Central Bank argues that price pressures could be close to their peak in the eurozone, and French data support that view.
French Finance Minister Bruno Le Maire said on Tuesday that the country’s growth this year will be significantly higher than the government’s current forecast of 6.25%.
This optimism, which added to earlier data showing improvement in December, exists despite continuing uncertainty over the Covid-19 pandemic, with many European countries, like the US, reporting a record number of daily cases, prompting the reintroduction of restrictions to stop spreading a highly contagious variant of Omicron.
European indices recorded strong growth on Monday, the first day of trading in the new year, and the STOXX 600 index ended record close. Wall Street followed suit and also closed at record levels, while Asia was mostly in first place on Tuesday.
In corporate news, Novartis Shares (SIX 🙂 rose 0.4% after the U.S. appeals court upheld a patent for the Swiss drugmaker Gilenya’s multiple sclerosis treatment.
Elsewhere, the technology sector received a boost from Apple’s (NASDAQ 🙂 market value, which rose above $ 3 trillion for the first time on Monday, and Tesla (NASDAQ 🙂 announced a strong fourth quarter in terms of vehicles delivered.
Oil prices rose ahead of a meeting of leading producers to discuss future levels of production amid growing Omicron cases, but only limited restrictive measures in the countries that consume the most fuel.
The Organization of the Petroleum Exporting Countries and Allies, a group called OPEC +, will meet virtually later in the day, and the cartel is expected to stick to its plan to increase production by 400,000 barrels a day in February. The group has fallen below its quotas on several occasions in recent months, despite official policy figures.
Investors are also waiting for data on oil supply from, which should arrive later in the day.
By 3:45 a.m. Eastern Time, U.S. crude futures traded 0.4 percent higher at $ 76.38 a barrel, while the contract rose 0.3 percent to $ 79.19. Both contracts jumped more than 1% on Monday.
In addition, it rose 0.2% to $ 1,804.35 / oz, while it rose to 1.1297.