European markets saw gains on Wednesday as investors turned their attention to fresh earnings reports and economic data, seeking insights into the global stock market outlook. By late morning in London, the pan-European Stoxx 600 was up 0.45%, with most major regional indices and sectors in positive territory. While mining stocks dipped 0.87%, the chemicals sector rose by 1.02%, and insurance stocks increased by 1.01%.
British insurer Prudential reported a 9% increase in adjusted operating profit for the first half of 2024, boosting its share price. Similarly, the privately owned toymaker Lego announced a 13% rise in revenue for the first six months of the year. These results followed a mixed trading session on Tuesday, during which the Stoxx 600 closed slightly higher. Travel stocks led the way, buoyed by Ryanair CEO Michael O’Leary’s remarks that fare reductions in the crucial July-September quarter would be less than initially expected.
Copper prices reached a near-six-week high on Tuesday, driven by renewed demand and optimism about a potential Federal Reserve interest rate cut in September. Meanwhile, in Europe, French statistics revealed a slight improvement in household confidence about the nation’s economy in August.
Investors in the United States are keenly awaiting Nvidia’s earnings report, expected later on Wednesday. As a leader in the artificial intelligence sector, Nvidia’s performance could offer insights into the future of the tech and AI markets, which have experienced significant growth this year. Ahead of this report, U.S. stock futures were slightly down after a strong performance on Wall Street the previous day.
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