A rebound in stock markets gained further steam on Tuesday as oil tumbled on hopes the world’s largest economies will be ready to deploy stockpiles, with the war in Iran posing threats to global supplies.
DUBLIN
Euronext Dublin climbed 2.9 per cent, mostly driven by the Irish banks, but almost every company finished the day in the green.
Bank of Ireland and AIB were the standout performers, climbing 4.9 per cent and 4.1 per cent respectively. “AIB started its move on Monday,” said a trader. “It was a strong outperformer, up 2 per cent.”
The index was also buoyed by budget airline Ryanair, which climbed 3.2 per cent to €26.34 as it benefited from a sectoral rise on the back of the fall in oil prices.
READ MORE
Cavan-based insulation specialist Kingspan was up 1.9 per cent at close of business, while home builders also benefited, with Glenveagh Properties and Cairn Homes up 1.7 per cent and 1.3 per cent, respectively.
“All of Tuesday’s moves were largely driven by geopolitical moves and the updates to the situation in the Gulf,” the trader noted.
LONDON
Stocks gained in London on Tuesday, following three sessions of declines, as oil prices pulled back after US president Donald Trump suggested that the Middle East war could end soon.
The blue-chip FTSE 100 closed up 1.6 per cent, while the mid-cap FTSE 250 added 1.8 per cent. Both marked their biggest one-day rise in nearly a year.
Most major subsectors made gains, except the energy index, which fell 1.2 per cent, with oil majors Shell down 0.8 per cent and BP 2.1 per cent lower.
Persimmon shares rose 4.5 per cent after the housebuilder said it expects to deliver more homes in 2026, with profits likely at the top end of estimates.
Domino’s Pizza UK rose 0.2 per cent as the fast-food chain bets on its new fried chicken brand to drive growth.
EUROPE
European indexes followed Asia higher to start the day before retracing some gains as the day progressed, with Germany’s Dax up 2.25 per cent and France’s Cac 40 adding around 1.85 per cent. The Stoxx Europe 600 rose 2.2 per cent.
Money markets cut the chances of a European Central Bank rate hike this year, after this was more than fully priced in late on Monday, while the benchmark German 10-year bond was little changed at 2.86 per cent.
Rate-sensitive two-year yields fell, with Germany’s down 4 basis points. Britain’s dropped 10 basis points to 3.87 per cent after hitting 4.23 per cent on Monday at the height of market worries that surging oil prices would reignite inflation and prompt central banks in Europe to tighten policy later this year.
NEW YORK
Wall Street’s main stock indexes reversed early losses and gained in choppy trading as investors took comfort from tumbling crude prices on expectations that the Middle East conflict could come to a sooner-than-expected end.
Travel stocks, which have borne the brunt of the sell-off since the war started, were lower, with an index tracking passenger airlines down about 1 per cent, while cruise companies Carnival and Royal Caribbean also lost around 1 per cent each.
In morning trading, the Dow Jones Industrial Average rose 0.50 per cent; the S&P 500 gained 0.33 per cent; and the Nasdaq Composite rose 0.54 per cent.
Eight of the 11 S&P 500 sectors edged higher, led by technology stocks, while energy slipped 0.2 per cent.
Chipmakers were higher on Tuesday, with Nvidia up 2 per cent, while SanDisk and Western Digital gained over 5 per cent each.
Bunge gained 1 per cent after the agribusiness firm said it expects earnings to increase to at least $15 per share by 2030 and announced a new $3 billion share repurchase program.
Health insurer Centene fell more than 11.5 per cent after it reaffirmed its 2026 profit forecast.
– Additional reporting: Agencies
