European shares rise on upbeat earnings reports

Asian markets rallied on optimism about China’s economy

Photograph: iStock

Photograph: iStock

 

European shares rose on Tuesday after Asian markets rallied on optimism about China’s economy, while upbeat earnings reports from miner Rio Tinto and computer peripherals maker Logitech boosted sentiment.

The pan-European Stoxx 600 index gained 0.4 per cent by 0809 GMT, while Germany’s Dax and France’s CAC 40 gained 0.4 per cent and London’s blue-chip index rose 0.7 per cent. The Irish index of shares rose 0.4 per cent.

UK-listed shares of Rio Tinto gained 1.4 per cent after it reported a 2.4 per cent rise in fourth-quarter iron ore shipments, helped by industrial activity in top consumer China. Miners were the top gainers among sectors, up almost 1%.

Logitech jumped 6.9 per cent as it raised its 2021 sales growth and profit outlook for the third time, benefiting from a pandemic-driven boost in demand for work-from-home products and gaming accessories.

Asian stocks closed in on all-time highs as investors wagered China’s economic strength would help underpin growth in the region after data confirmed the world’s second-largest economy was one of the few to grow over 2020. – Reuters