Energy shares push European shares higher
On Wednesday European stocks rose in thin trading, boosted by gains in energy shares and as Linde AG led chemical companies higher.
BP Plc and Saipem SpA added at least 2.6 percent, with oil rebounding from a two-week low as OPEC ministers expressed renewed optimism about salvaging a deal to cut output. Linde AG jumped 6.7 percent after saying it’s reviewing a revised merger proposal from Praxair Inc. Commodity producers extended a selloff, posting the worst performance among industry groups.
The Stoxx Europe 600 Index advanced 0.2 percent at 9:47 a.m. in London, with the volume of shares changing hands 11 percent lower than the 30-day average. Thin trading this week indicates some investors are staying on the sidelines ahead of today’s OPEC meeting and Sunday’s Italian referendum on constitutional reform. The FTSE MIB Index rose for a second day, after sliding to a two-month low.
The Stoxx 600 is on track for its first monthly advance in three, up 0.7 percent. European equities have climbed in November on speculation Donald Trump’s U.S. election win will lead to increased fiscal spending. Industries seen benefiting from stronger economic growth — including miners, banks and insurers — led gains, while defensive shares such as utilities and telecommunications shares lagged.
The rally in commodity producers has lost steam after reaching a 17-month high last week. A gauge tracking the industry group fell for the third time in four days, with Anglo American Plc and Rio Tinto Group down at least 2.3 percent.
Asian stocks trimmed their biggest monthly rout since February as technology companies rallied and shares in Tokyo closed near their highest level in almost a year. The MSCI Asia Pacific Index climbed 0.2 percent to 136.50 as of 4:33 p.m. in Hong Kong, paring a 1.8 percent drop this month.