Intel stock extends gains after report of possible U.S. government stake
Investing.com - Europe’s STOXX 600 index edged higher on Friday as traders digested a raft of business activity data from the region and assessed a backdrop clouded by international trade tensions and geopolitical uncertainty.
By 04:21 ET (09:21 GMT), the pan-European average inched up by 0.3% to 552.56, but was on track to fall for the week -- breaking a run of eight consecutive positive weeks, the longest such streak since March 2024. Germany’s DAX and the U.K.’s FTSE 100 were broadly unchanged, while France’s CAC 40 edged up by 0.4%.
Talks between the U.S. and Russia on ending the war in Ukraine helped underpin a surge in European shares to record highs earlier in the week.
Defense stocks were particular benecificiaries of the negotiations, with recent statements from the Trump administration leading some analysts to speculate that European countries may no longer be able to count on the U.S. to provide a reliable security backstop. Military spending in the region was tipped to subsequently rise.
Meanwhile, the prospect of more debt issuance to fund the uptick in defense spending contributed to a rise in European bonds. Persistent worries around U.S. President Donald Trump’s threats to impose tariffs on Europe also impacted investor sentiment.
On Friday, new surveys showed a pick-up in February business activity in Germany, Europe’s largest economy. However, the figures showed a contraction in France, the continent’s second-biggest economy. Across the Eurozone currency area, business activity expanded, but at a more tepid level than anticipated.
In individual stocks, Standard Chartered (LON:STAN) posted a strong 2024 performance, with underlying profit before tax reaching $6.8 billion, driven by growth in wealth management and corporate banking. It also announced a $1.5 billion share buyback and a final dividend of 28 cents per share, bringing total shareholder distributions to $4.9 billion. Shares in the bank rose by more than 4% in London trading.
Meanwhile, Swiss construction materials giant Sika (SIX:SIKA) reported a 4.7% rise in net sales to 11.76 billion Swiss francs. Growth was driven by a 6.4% increase in construction industry sales, while industrial manufacturing declined by 4.6%. Core income improved by 11% to 2.27 billion Swiss francs.
French multinational Air Liquide (EPA:AIRP) upgraded its mid-term margin target and extended its financial outlook to 2026, projecting a 4.6 percentage point improvement over five years.
Elsewhere, oil prices hovered below the flatline, but were on course to secure a weekly gain, as traders eyed supply chain disruptions in Russia and a drawdown in U.S. gasoline and distillate stockpiles.
(Navamya Acharya contributed reporting.)