Small gains recorded the key indices on the European markets but this was enough to boost the weekly profits over 1%. The good macro data on business confidence in Germany and the strong corporate results improved the investment climate. This is the third consecutive day with profits thus the pan-European Stoxx 600 index closed the week higher by over 1%.
“After a slow start, profits have improved quite quickly and the results of companies like Intel and Apple helped the investment climate”, commented in CNBC Mr. Keith Bowman, analyst of Hargreaves Lansdown. “The better than expected corporate figures actually create the security that the recovery is gaining momentum, especially when firms increase the “guidance” for next quarter”, said Mr. Marcus Huber of ETX Capital in London.
The pan-European Stoxx Europe 600 index gained 0.51% and closed at 280.47 points. The Stoxx 50 increased by 0.51%. The British FTSE 100 index moved lower by 0.07%, the German DAX gained 0.64%, while the French CAC-40 declined by 0.43%.
Profit of 0.46% recorded the IBEX index in Spain, at a rate of 1.43% was supported the Italian MIB, while the Swiss SMI enhanced by 0.19%. Mixed signs for the Russian indices as the RTS closed positively by 0.05% while the Micex declined by 0.16%. In Turkey, the index ISE strengthened by 0.75%.
In business development, a lawsuit against Transocean – the owner of the rig Deepwater Horizon – filed by the British BP one year after the explosion of the oil rig which caused the greatest environmental disaster in U.S. history. BP demands at least $40 billion in damages and other costs, while it filed a lawsuit also against Halliburton. The British oil giant also blames Cameron International for negligence, claiming that Cameron’s security system failed to prevent the disaster.
