Dipo Olowookere
By Investors Hub
European stocks are moving higher on Thursday as traders react positively to the headlines concerning U.S.-China and U.S.-Japan ties as well as solid consumer confidence data from Germany.
A day after delivering a stinging rebuke to China’s trade practices at the United Nations General Assembly, U.S. President Donald Trump said that a deal to end a nearly 15-month trade war with China could happen sooner than people think.
Trump’s positive comments on trade talks helped push market concerns about U.S. political risks into the background.
Meanwhile, the U.S. and Japan have signed a limited trade deal, under which Japan will open new markets to about $7 billion in U.S. agricultural products.
In economic news, German consumer sentiment is set to improve in October as stimulus measures announced by the European Central Bank boost the propensity to buy, survey data from market research group GfK showed.
The forward-looking consumer sentiment index rose to 9.9 in October from 9.7 in September. The score was forecast to drop to 9.6.
Markets shrugged off a Bloomberg report suggesting that the World Trade Organization will authorize the U.S. to impose tariffs on nearly $8 billion of European goods.
While the U.K.?s FTSE 100 Index has surged up by 1.2 percent, the French CAC 40 Index is up by 0.7 percent and the German DAX Index is up by 0.5 percent.
The British pound traded lower as MPs returned to parliament following the Supreme Court’s ruling that the suspension of parliament was unlawful.
Aviva has advanced after the insurer announced the appointment of Jason Windsor as Chief Financial Officer and Executive Director with effect from September 26.
Metro AG has also moved to the upside after saying it plans to divest the hypermarket business, resulting reduced company size.
Meanwhile, Imperial Brands has moved sharply lower after a warning that the backlash against vaping and e-cigarettes in the U.S. will weigh on its revenues this year.
Publishing and education company Pearson has also slumped after the company warned of a weaker than expected third-quarter performance at its key U.S. higher-education courseware segment.
IAG shares have also shown a notable move to the downside as the British Airways owner warned of a 6 percent drop in annual profits.
