European Shares Rebound From Early Losses
(RTTNews) - European stocks recovered from early losses on Wednesday, as base metal prices remained strong, the euro weakened against the dollar and British grocer Sainsbury reported record Christmas sales, defying concerns of a slowdown in consumer spending.
Oil prices also edged up after steep overnight losses in the wake of reports that Saudi Arabia has started to comply with slight supply cuts from contracted volumes in February, including to India and Malaysia.
The pan-European Stoxx Europe 600 index was up 0.14 percent at 364.58 after edging lower in early deals amid caution ahead of U.S. President-elect Donald Trump's press conference later in the day.
Trump's proposed tax cuts and spending plans could boost U.S. and global growth, while uncertainty about his trade policies adds to the risks, the World Bank said in its latest outlook on the global economy.
The German DAX and the U.K.'s FTSE 100 were rising around 0.2 percent each while France's CAC 40 was marginally higher. The FTSE was on track for a record closing high for the tenth straight day.
Supermarket giant Sainsbury soared 7 percent in London after posting better-than-expected sales for the third quarter.
Miners BHP Billiton and Anglo American rose 1-2 percent after both iron ore and copper prices jumped overnight following pledges from China's top steelmaking province to further cut production capacity.
Engineering firm Cobham plunged over 13 percent after its group trading profit for the year ended December 31 fell short of guidance.
Volkswagen rallied 2 percent after the German automaker confirmed it is closing in on a deal to settle a U.S. probe into the rigging of diesel-powered cars to cheat emissions tests.
On a light day on the economic front, official data showed that U.K. industrial production recovered at a faster than expected pace in November.
Industrial output climbed 2.1 percent in November from October, when production eased 1.1 percent. Economists had forecast output to rise 1 percent.
On the other hand, the U.K. visible trade deficit widened more than expected in November.