European stocks recover after a torrid spell last week

European stocks ended sharply higher on Monday as an unexpected rise in German business sentiment underscored the resilience of the region’s largest economy.

U.S. stock indexes also climbed as investors bought struggling banks and Apple shares after a turbulent week last week when stocks took a beating.


The Iseq index rose nearly 1.3%, supported by major banks as financial stocks rose across Europe. Bank of Ireland ended the session nearly 5% ahead at €6.15, while BAI rose more than 4.5% to €2.39.

It was also a good day for property-related stocks in the Irish market, despite hints from the European Central Bank that rates will rise quickly, which could hurt affordability. Cairn Houses rose 2.3% to €1.05, while Glenveagh Houses rose 3.7 percent to 95 cents per share. Reit of Irish Residential Properties closed 1.7% ahead at €1.40.


The UK’s leading equity index, the FTSE 100, rose 1.7%, helped by gains in financials and strength in resource stocks. The domestically focused FTSE 250 rose 1.6%.

The mining and oil and gas sectors rose 2.9% and 2.3% respectively, boosted by higher commodity prices, amid plans to end Covid-19 lockdowns in China, the main consumer of metals, and the decline of the US dollar. Meanwhile, banks and insurers rose 2.5% and 2.3% respectively.

Shares of Kingfisher, which owns B&Q, climbed 2.2% after the company reported first-quarter sales significantly above its pre-pandemic performance and maintained its full-year outlook. Sales fell 5.8% in the three months to April. The company said this was still “resilient” and that recent pressure on supply chains had improved. Although sales have fallen since last year, they are still significantly ahead of 2019 as the pandemic sparked a DIY boom.

Ted Baker fell 0.9% after the fashion chain said private equity firm Sycamore was no longer part of its sale process and had now received several revised takeover proposals from other parties.

Online greeting card company moon pig climbed 11.1% to record its best session after agreeing to buy Smartbox, a gifting experiences platform, for £124m in cash.

Digital Services Company Kainos Group jumped 19.3% to top the FTSE 250 midcap index after posting strong annual results.


The pan-European Stoxx 600 index ended up 1.3%. German stocks rose 1.4%.

Commodity-related stocks gained about 2% on higher oil and base metal prices, while banks rose 2.3%.

wind turbine manufacturer Siemens Gamesa jumped 6.2% after Siemens Energy launched a 4.05 billion euro bid for minority stakes in the troubled unit. First shareholder of Siemens Energy – Siemens AG – increased by 1.4 percent.

German Euroshop jumped 40.1% after a consortium of bidders bid 1.4 billion euros to acquire the German shopping center investor.

New York

All of the 11 major S&P sectors advanced, with Financials and Energy rising 3.8% and 2.4% respectively.

Banks gained 6.1%, after falling 16.7% so far this year. Shares of JP Morgan jumped 7.7% after the largest U.S. lender by assets raised its 2022 net interest income outlook and confirmed its profitability target.

cloud service provider vmware jumped 20.7% after weekend reports, the chipmaker said Broadcom was in talks to acquire the company. Broadcom fell 2.6%.

shares listed in the United States of Didi Global added 1.3% after a majority of the Chinese ride-hailing giant’s shareholders voted in favor of its plan to delist from the New York Stock Exchange. – Additional reporting: Reuters