Commodities push markets up

European shares edged higher on Tuesday as investors shifted from worrying about a trade war to focusing on a corporate earnings season expected to deliver solid results.

The pan-European STOXX 600 index rose 0.2 percent by 0830 GMT, a 2 1/2-week high, and headed for its sixth straight day of gains as commodities shares supported the market in the face of rising protectionism. Britain’s FTSE 100 declined 0.1 percent, however, as the pound recovered from Monday’s drop after toplevel government resignations.

Oil stocks were the biggest boost to the index, rising 1 percent. Crude prices climbed on concern over potential supply shortages as Norwegian oil workers prepared to strike later in the day.

Overall, analysts have been revising their earnings expectations higher for the STOXX 600 before Europe’s earnings season kicks off in earnest. But on Tuesday disappointing results caused the most eyecatching moves.

Britain’ economy picked up a bit of speed in May after slowing in early 2018, according to official figures that are likely to give the Bank of England more confidence about raising interest rates next month.

A new monthly reading of gross domestic product showed the world’s fifthbiggest economy grew by 0.3 percent in May from April. That was up from growth of 0.2 percent in April and in line with the forecast in a Reuters poll of economists, marking the strongest growth since November, the Office for National Statistics said on Tuesday.

Sterling fell against the dollar after the data, which showed a mixed picture of the economy. Growth came mostly from the dominant services sector while factory output disappointed.

Asian markets were mostly higher as overnight gains on Wall Street and the lack of bad news surrounding U.S.-China tariffs boosted sentiment. Japan’s benchmark Nikkei 225 added 0.7 percent. Hong Kong’s Hang Seng rose 0.1 percent to 28,711.29. The Shanghai Composite index was less than 0.1 percent higher at 2,816.10.