European stocks rose, extending a six-year high, amid better-than-estimated earnings from ThyssenKrupp AG to Airbus Group NV. (AIR)
ThyssenKrupp climbed 4.7 percent after Germany’s biggest steelmaker also raised its full-year earnings forecast. Airbus advanced 6 percent. Pandora A/S jumped 7.6 percent after increasing its sales projection. Telecom Italia SpA (TIT) declined 5.4 percent as quarterly revenue missed estimates.
The Stoxx Europe 600 Index gained 0.1 percent to 341.43 at 1:46 p.m. in London. The gauge rose 7.4 percent from this year’s low on Feb. 4 through yesterday as mergers-and-acquisitions activity increased and European Central Bank President Mario Draghi said policy makers are ready to take action to support the economic recovery.
“Despite the good run we’ve seen in European stocks this year and the year before, I’m still positive they will go higher,” said Herbert Perus, who helps oversee $36 billion as head of equities at Raiffeisen Capital Management in Vienna. “European companies are in very good shape. Companies with good results are going up, while those with bad numbers are going down. This is a good sign.”
European shares pared gains of as much as 0.3 percent after a report showed U.S. retail sales rose 0.1 percent in April, missing the median economist forecast, after a 1.5 percent increase the previous month.
In Germany, a report showed the ZEW Center for European Economic Research’s gauge of investor and analyst expectations fell this month to 33.1 from 43.2 in April. That missed economists’ projections of 40 in a Bloomberg survey.
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