European stock markets close as the euro closes

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European stocks closed higher on Tuesday, reversing initial losses, with market participants closely monitoring euro developments and economic data, CNBC reports.

The pan-European Stoxx 600 index closed up 0.4%, with most sectors and major stock exchanges in positive territory.

Shares of financial services led gains by almost 2%, while shares of oil and gas companies fell 1.2%.

The euro reversed losses that brought the single currency closer to parity with the dollar on Tuesday morning, trading up 0.2% to $ 1,006 per unit.

In the first part of the session, the euro fell 0.4% to $ 1,0001 per unit, with the eurozone energy supply crisis and economic problems continuing to have a negative effect on the single currency.

The DAX index of the Frankfurt stock exchange increased by 0.5%, the CAC 40 of the Paris stock exchange by 0.8%, and the FTSE 100 of the London stock exchange advanced by 0.2%.

In terms of individual shares, the shares of the French energy company EDF were among the best, with an increase of over 6% after two sources told Reuters that the French government is ready to pay over 8 billion euros to bring back the energy giant under the full control of the state.

The French government announced last week that it would nationalize the company in which it already owns 84% ​​of the shares.

The weakest performance in the Stoxx 600 index was the Swedish cloud communications company Sinch, down more than 13%, which extended its losses on Monday. The company said the second-quarter profit would be affected after re-evaluating the historical cost of goods sold, according to Reuters.

Shares of oil and gas companies were volatile on Tuesday morning, oscillating between positive and negative territory, with investors weighing risks to Europe’s gas supply after Russia suspended gas supplies to Germany via the Nord Stream 1 pipeline for annual maintenance. summer.

In terms of data, German investor confidence fell sharply in July. The economic research institute ZEW announced on Tuesday that its index of confidence in the economy fell to -53.8 points from -28 last month.