Business Express is an online portal that covers the latest developments in the world of business and finance. From startups and entrepreneurship to mergers and acquisitions, Business Express provides reporting on the stories that matter most to business leaders and decision-makers.The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

STOXX 600 ends at record high; BBVA weighs on Spain


STOXX 600 ends at record high; BBVA weighs on Spain

By Ankika Biswas and Johann M Cherian

(Reuters) -Europe’s benchmark index inched up to close at a record high on Thursday, driven by a jump in industrial stocks, while shares of Spanish bank BBVA hit a two-month low after announcing a hostile takeover bid for smaller rival Sabadell.

The pan-European STOXX 600 shrugged off earlier losses and ended 0.2% higher, with Germany’s DAX up nearly 1%.

Industrial stocks like Siemens, ABB and Schneider Electric added over 1% each and were top boosts on the benchmark index.

Europe’s STOXX 600 kick-started May on a positive note, after taking a breather from the record-breaking rally in April, owing to resilient earnings, the European Central Bank’s indication of a likely June rate cut and ebbing Middle East tensions.

“The idea of the ECB moving to cut interest rates soon in June and potentially start a rate cutting cycle has been the biggest driver,” said Fiona Cincotta, senior market analyst at City Index.

As for major M&A developments, Spanish bank Sabadell jumped 3.1% after rival BBVA presented a 12.23 billion euro takeover bid directly to shareholders, even though the former’s board already rejected the proposal.

With BBVA shares down 6.7%, Spain’s benchmark index lost nearly 1% to lag its regional peers.

“It is quite rare to see this type of hostile takeover bid in Europe, and it has caught the market a little bit by surprise,” Cincotta added.

Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!


By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.

Automobiles dropped for the second straight day by 0.8%, with Mercedes-Benz off 5.8% as the German automaker’s stock traded ex-dividend.

Top executives at BMW and Volkswagen have warned against imposing EU import duties on electric vehicles from Chinese automakers, saying it could upend the bloc’s Green Deal plan and harm China-manufactured car-importing automakers.

Other key stocks that were trading ex-dividend and weighing on the STOXX 600 were HSBC and German financial services firm Allianz SE, down 1.8% and 3.7%, respectively.

On the earnings front, Belgian drug developer Argenx lost 5% following its first-quarter earnings.

Italian payments group Nexi jumped nearly 6.4% after a larger-than-forecast rise in first-quarter core profit.

BE Semiconductor Industries climbed 3.6% after announcing it received order for 26 hybrid bonding systems.

BFF Bank’s shares dropped 10.3% before being halted after the Italian lender said it had been instructed by the Bank of Italy to suspend dividend and bonus payments due to issues about the way it was classifying credits towards the state.

At least 61% of the STOXX 600 companies that reported their first-quarter earnings have exceeded estimates, versus the typical 54% beat rate, according to LSEG data on Tuesday.

(Reporting by Ankika Biswas and Johann M Cherian in Bengaluru; Editing by Nivedita Bhattacharjee and Sherry Jacob-Phillips)

Recent Post: