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European shares extend gains on U.S. stimulus hope

Published 21/01/2021, 09:19
© Reuters.
SAND
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DTEGn
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SX7P
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(For a Reuters live blog on U.S., UK and European stock
markets, click LIVE/ or type LIVE/ in a news window)
Jan 21 (Reuters) - European stocks extended gains on
Thursday on hopes of a large U.S. stimulus plan under new
President Joe Biden, while investors looked to the European
Central Bank (ECB) for clues on the eurozone's economic health.
The pan-European STOXX 600 index .STOXX rose 0.7% by 0807
GMT, hitting new highs since February, with automakers .SXAP
banks .SX7P and industrial companies .SXNP gaining the most.
Asian and Wall Street peers hit record highs after Biden
took office on Wednesday and signed half a dozen executive
orders that included America's return to the international Paris
Agreement to fight climate change. Meanwhile, the ECB is widely expected to keep its easy money
policy unchanged later in the day, but hold the door wide open
to further stimulus as the spreading second wave of COVID-19
dims an already weak outlook. Among individual shares, Sandvik SAND.ST gained 1.3% after
the metal-cutting tools and mining gear maker reported quarterly
earnings above analysts' forecasts.
Spanish cellphone mast operator Cellnex CLNX.MC rose 3.2%
and German telecoms group Deutsche Telekom DTEGn.DE rose 0.7%
after the two companies announced to combine their tower
business in the Netherlands.

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