The European Stock Exchange rises with the support of improving US-China relations


The European Stock Exchange ended Friday’s trading, recording record weekly gains, supported by indications of an improvement in US-China relations to open the appetite of investors to a new dose, following the easing of public isolation measures to lead a recovery in global growth.

The pan-European STOXX 600 index closed 0.9 percent higher, as dialogue between US and Chinese officials on the stage-1 trade agreement calmed investors over renewed trade disputes.

Shares of auto companies, which rely heavily on China as a market and production center, led the gains on Friday, rising nearly 3 percent.

The strong profits also provided support, as ING, the Netherlands’ largest bank, increased 3.6 percent after it posted pre-tax profits in the first quarter that exceeded market expectations.

Siemens shares rose 4.8 percent after the German industrial company announced plans to cut costs to cope with the impact of the pandemic after an 18 percent drop in industrial profits during the second quarter.

The exchanges in Frankfurt and Paris rose 1.4 percent and 1.1 percent, respectively. London markets are closed for a public holiday.

Stokes 600 added about 1.1 percent this week, as a better-than-expected business results series helped distract investors from the continuing torrent of weak economic readings due to the Corona virus.


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