EUROPE MARKETS: European Stocks Close Higher As Worries Over Trump Rally Recede
29 March 2017 - 3:46AM
Dow Jones News
By Victor Reklaitis, MarketWatch
Investors still giving Trump 'the benefit of the doubt':
analyst
European stocks finished higher Tuesday, as analysts said
worries were abating over whether the Trump administration will be
able to push through pro-growth reforms in the world's largest
economy.
The Stoxx Europe 600 index rose 0.6% to end at 377.30, rallying
after Monday's drop of 0.4%
(http://www.marketwatch.com/story/banks-lead-european-stocks-lower-as-trump-rally-falters-2017-03-27).
The pan-European benchmark slid on Monday along with equities
worldwide after a Republican overhaul of the U.S. health care
system fizzled, sparking worries about President Donald Trump's
other business-friendly plans.
"Markets are calmer today," said Hussein Sayed, FXTM's chief
market strategist, in a note. American tax reform, infrastructure
spending and deregulation now appear less likely, "but investors
are still giving President Trump the benefit of the doubt," he
said.
"However, if they see that these plans will face the same
destiny as the health care act, markets will soon turn to
aggressive selling," Sayed added.
National indexes:The U.K.'s FTSE 100
(http://www.marketwatch.com/story/uk-stocks-recover-slightly-from-slide-pound-resilient-before-brexit-trigger-2017-03-28)
rose 0.7% to end at 7,343.42, helped by the pound falling ahead of
a much-anticipated step in the U.K.'s withdrawal from the European
Union. On Wednesday, Prime Minister Theresa May is expected to
invoke Article 50
(http://www.marketwatch.com/story/uk-prime-minister-to-trigger-start-of-brexit-process-on-march-29-2017-03-20)
to start the Brexit process.
Germany's DAX 30 index gained 1.3% to finish at 12,149.42, while
France's CAC 40 index added 0.6% to close at 5,046.20.
Individual movers: Shares in London-listed Wolseley PLC (WOS.LN)
jumped 5.1% after the plumbing and building materials supplier
reported a fall in interim net profit, though trading profit -- the
company's main metric -- rose
(http://www.marketwatch.com/story/wolseley-profit-down-to-change-name-exit-nordics-2017-03-28)
thanks in part to a boost from exchange rate movements.
Wolseley also said it plans to exit the Nordic region due to a
lack of synergies with the rest of the company and change its name
to Ferguson PLC, its U.S. brand.
AA PLC (AA.LN) was another big winner, rising 5.8% after the
roadside assistance provider announced profit growth and raised its
dividend
(http://www.marketwatch.com/story/aa-lifts-dividend-as-full-year-profit-rises-2017-03-28).
Tenaris SA (TEN.MI) , which makes pipes for the energy industry,
finished 7.7% higher after Chief Executive Officer Paolo Rocca said
he has received encouraging feedback from the Trump administration,
according to a Bloomberg report
(https://www.bloomberg.com/news/articles/2017-03-27/billionaire-pipemaker-touts-jobs-over-imports-in-trump-s-america).
(END) Dow Jones Newswires
March 28, 2017 12:31 ET (16:31 GMT)
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