LONDON – European stocks traded higher on Wednesday morning as investors absorbed a new round of corporate profits and key economic data outside the eurozone.
The pan-European Stoxx 600 rose 0.8% at the start of trading, with core resources adding 2% to gain as all sectors except cars entered positive territory.
Shares in the Asia-Pacific region were subdued mostly on Wednesday after the sale of technical stocks in the state, with major markets in China and Japan still closed for the holidays. US futures showed a cautious positive opening on Wall Street later in the day.
European stocks recovered on Wednesday after a sharp slump at the end of Tuesday̵
The final indicators of the composite and services PMI (Purchasing Managers’ Index) for April are expected to come out of Italy, Germany, France and the wider eurozone on Wednesday morning, offering an idea of the state of economic recovery of the common currency bloc.
Eurozone producer prices for March will also be published.
This is another busy day for corporate profits on Wednesday in Europe with Stellantis, Allianz, Commerzbank and Deutsche Post DHL Group among those reporting before the bell.
Deutsche Post raised its financial guidelines after more than tripling its operating profit for the first quarter, sending shares 2.6% higher at the start of trading.
Stellantis reported revenue growth in the first quarter to 37 billion euros ($ 44.5 billion), but warned that the shortage of semiconductors worldwide could have a stronger impact on production in the second quarter.
The Danish equipment management company ISS A / S saw its shares jump 7% at the start of trading to top the Stoxx 600 after its revenue statement.
At the bottom of the index Virgin Money UK fell 7% against the results of the first quarter.
subscribe to CNBC PRO for exclusive insights and analyzes and live working day programming from around the world.