Falling oil prices spurred further advances across stock markets on Tuesday, while early reaction to the Budget 2027 announcement in the Republic boosted Irish builders and banks.
Benchmarks Brent and West Texas Intermediate crude fell on Tuesday, helping to somewhat ease inflation fears.
DUBLIN
Rare earths miner Kenmare Resources surged 25.2 per cent to €2.68 after the company confirmed an Irish Times report that Abu Dhabi’s International Resources Holdings had approached it.
Kenmare has given the prospective buyer until November 17th to declare a firm intention to make an offer for the Irish-based company.
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Ryanair climbed 2.28 per cent to €24.21 as the slide in oil prices was seen to boost airlines.
Traders noted that Budget 2027 aided house builders. Cairn Homes gained 2.28 per cent to close at €2.69 while rival Glenveagh Properties added 2.36 per cent to reach €2.385.
Banks also benefited. AIB advanced 0.75 per cent to €11.38. Its peer Bank of Ireland rose 1.53 per cent to €19.25.
“It’s generally positive across the board,” said one dealer. “Oil prices are down, so there’s a bit of relief out there.”
Insulation and building materials group Kingspan was one of the few fallers in Dublin on Tuesday.
Shares in the Co Cavan-based multinational slid 1.17 per cent to €101.50.
LONDON
The London market climbed on the back of falling oil, but defence stocks suffered as the British government appeared to waver on spending pledges.
Business information and events group Informa rose 3 per cent to 887.2p. The company plans to raise £940 million (€1.1 billion) to fund the £2.24 billion acquisition of Clarion Events, and hive off its academic operation, Taylor & Francis.
Online fashion retailer Asos plunged almost 10 per cent to 454p after confirming a cyberattack.
Reports that the British government may defer defence spending pledges for a year in the hope that growth recovers hit the industry’s stock.
BAE Systems fell 4.1 per cent to 1,855p and Babcock International slipped 2.1 per cent to 906.6p.
Aircraft engine maker Rolls-Royce shed 2.7 per cent to 1,438.2p.
EUROPE
It was a similar picture on the Continent. The Stoxx 600 Index rose 0.4 per cent while Germany’s Dax Index rose 0.8 per cent. In Paris, the CAC40 Index added 0.4 per cent.
Danish biotech Genmab climbed 7.6 per cent in early trade after a late-stage study showed that the blood cancer drug combination it is developing with US drugmaker AbbVie’s cut risk of progression or death. The shares were up 4.4 per cent at 2,482 Danish kroner in the late afternoon.
Healthcare stocks fared well in Europe on Tuesday. Italian pharmaceutical manufacturer Recordati’s shares advanced as much as 1.8 per cent to €53.15 in Milan.
Private equity player CVC Capital Partners raised its take-private offer for the pharma business to €10.5 billion after minority shareholders complained that it undervalued the company.
The cash offer of €53 per share compares with an earlier bid of €51.29. CVC says the new bid is final.
Dutch chipmaker BE Semiconductor Industries shares were down almost 6 per cent at €191.35 shortly before 5pm Irish time.
BE faces competition in pioneering new processes for bonding microchips from another Netherlands player, ASML, whose stock had slipped 0.8 per cent in late afternoon.
Among other stocks, Italy’s Technoprobe gained 2.8 per cent to €36.84 after analysts at merchant bank JP Morgan initiated coverage of the microchip testing specialist with an “overweight” rating, which is an effective recommendation to buy the stock.
NEW YORK
US stocks advanced for a fourth straight day, driving the S&P 500 toward its first record close since August. AI chip giant Nvidia’s market value approached $6 trillion (€5.3 trillion). Advanced Micro Devices’ Lisa Su predicted “very high” chip demand over the next few years.
Paramount Skydance closed its $110 billion acquisition of Warner Bros Discovery, completing one of the biggest media mergers of all time after engaging in a bruising battle for control with Netflix and fending off antitrust lawsuits. – Additional reporting: Bloomberg/Reuters
