AGL 41.50 Increased By ▲ 2.96 (7.68%)
AIRLINK 128.00 Decreased By ▼ -1.50 (-1.16%)
BOP 6.26 Increased By ▲ 0.65 (11.59%)
CNERGY 4.13 Increased By ▲ 0.27 (6.99%)
DCL 8.44 Decreased By ▼ -0.29 (-3.32%)
DFML 40.69 Decreased By ▼ -1.07 (-2.56%)
DGKC 87.90 Decreased By ▼ -0.40 (-0.45%)
FCCL 34.10 Decreased By ▼ -0.90 (-2.57%)
FFBL 66.33 Decreased By ▼ -1.02 (-1.51%)
FFL 10.56 Decreased By ▼ -0.05 (-0.47%)
HUBC 108.70 Decreased By ▼ -0.06 (-0.06%)
HUMNL 14.46 Decreased By ▼ -0.20 (-1.36%)
KEL 4.65 Decreased By ▼ -0.10 (-2.11%)
KOSM 7.33 Increased By ▲ 0.38 (5.47%)
MLCF 42.72 Increased By ▲ 1.07 (2.57%)
NBP 60.84 Increased By ▲ 1.24 (2.08%)
OGDC 178.97 Decreased By ▼ -4.03 (-2.2%)
PAEL 25.70 Decreased By ▼ -0.55 (-2.1%)
PIBTL 6.06 Increased By ▲ 0.09 (1.51%)
PPL 146.15 Decreased By ▼ -0.55 (-0.37%)
PRL 24.91 Increased By ▲ 1.30 (5.51%)
PTC 16.14 Decreased By ▼ -0.42 (-2.54%)
SEARL 70.20 Increased By ▲ 1.90 (2.78%)
TELE 7.22 Decreased By ▼ -0.01 (-0.14%)
TOMCL 36.20 Increased By ▲ 0.25 (0.7%)
TPLP 7.84 Decreased By ▼ -0.01 (-0.13%)
TREET 15.59 Increased By ▲ 1.39 (9.79%)
TRG 50.36 Decreased By ▼ -0.09 (-0.18%)
UNITY 26.90 Increased By ▲ 0.15 (0.56%)
WTL 1.24 Increased By ▲ 0.03 (2.48%)
BR100 9,795 Decreased By -11.1 (-0.11%)
BR30 29,647 Decreased By -31.2 (-0.1%)
KSE100 92,021 Decreased By -282.9 (-0.31%)
KSE30 28,665 Decreased By -175.5 (-0.61%)

Financials drove European stocks higher on Thursday, shrugging off weakness among oil majors as investors eyed the Opec meeting later in the day, and unease in tech as worries of a peak spread to Europe. Euro zone stocks and blue-chips rose 0.5 percent while Britain's FTSE 100 fell 0.2 percent in its second day of losses as sterling rose, denting its internationally-exposed constituents.
Both euro zone stocks and the FTSE were however on track for their worst monthly fall since June, down 1.7 percent on the month as investors took profits after stellar gains in equities. "We haven't seen a change in the macro trend: the numbers continue to come out better than expected," said F. Carrier, head of investment strategy at RBC Wealth Management.
However, she added: "We have had a market with very low volatility for a number of quarters, so it's healthy that the market would retreat somewhat and see some profit-taking this month." On Thursday strong banking stocks, led by Credit Suisse after it hiked its payout ratio targets, underpinned the market, with Italian banks Unicredit and Intesa Sanpaolo also driving gains.
Financials made progress as bond yields also rose ahead of euro zone inflation figures expected to show a pick-up in prices across the booming bloc. Energy stocks were weaker as investors held their breath ahead of the Opec meeting in Vienna, where oil producers are expected to extend a supply cut which has helped push crude prices higher this year. Oil majors BP, Shell and Statoil dipped 0.3 to 0.7 percent.
Stocks in the sector have lagged the robust gains in crude prices, and Goldman Sachs strategists this week said investors are hopeful this could mean more upside potential for the sector which has underperformed this year. "Many of the oil companies have taken very strong steps to rebuild their balance sheets," said RBC's Carrier, pointing to Shell's move this week to pay its dividend in cash again.
"Clearly we have turned the corner and so should the oil price continue to be strong we would expect this to be reflected in the share prices." Tech stocks were the biggest weight after fears of a peak drove the sector down in Asian and US trading. Chipmaker and iPhone supplier ams, which has soared 240 percent this year, fell back, while banking software provider Temenos and video game maker Ubisoft also slipped 3.3 to 3.6 percent.
Chipmakers globally have wobbled this week after a Morgan Stanley note said the super-cycle for memory chips could be nearing a peak, and as the leaders of a dizzying tech rally some say is reaching bubble territory. "I'm not sure one would say it's a bubble. By and large the companies are generating either good profits or the potential for good profit growth," said Andrew Milligan, head of investment strategy at Standard Life.
Exchange operator Euronext meanwhile led gains, up 3 percent after acquiring the Irish Stock Exchange for 137 million euros. RBC's Carrier said she expected M&A to pick up in 2018 thanks to a strong economy and credit availability.

Comments

Comments are closed.