European stocks gained as investors assessed responses by leaders to the region’s growing energy crisis in advance of the European Central Bank’s policy meeting later this week.
In the US, Wall Street’s main indexes fell as a stronger-than-expected reading on services sector activity fed into expectations that the US Federal Reserve will keep raising interest rates to bring down surging inflation.
Dublin
The Iseq index closed the session just over 1 per cent ahead. Both pillar banks performed well, as analysts predicted their revenues and profits will grow in an environment of rising interest rates. AIB was up by more than 1 per cent to close at €2.31, while Bank of Ireland was up by 1.5 per cent to €6.31 per share.
Suggestions that new UK prime minister Liz Truss will enact policies to help consumers with rising energy bills fuelled consumer stocks with exposure to Britain. Budget airline Ryanair was up by 3.7 per cent to €12.50, while food group, Glanbia, rose 1.6 per cent to €12.48. Kerry group rose 1.1 per cent to €11.65 per share.
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London
The FTSE 100 was 13.01 points higher, or 0.18 per cent, at 7,300.44 when markets closed.
Shares in Berkeley Group moved higher on Tuesday after the housebuilder said it was on track to meet its profit expectations for the year, despite a housing market squeeze. Shares in the company were 126p higher, at 3,573p.
Packaging business DS Smith also reported trading in line with market guidance as the increased cost of packaging prices is set to offset rising energy costs. Shares in DS Smith were 9p higher, at 272p.
Vertu Motors sounded the alarm over its electricity costs which it said will rise from October after its fixed-price deal runs out. The car dealership group said it performed strongly in the first half of the year but warned that inflation and rising energy costs could impact vehicle supply in the future. Shares in Vertu were down 0.25p to 46.5p at the end of the day.
Europe
Top indices in Europe managed to recover after losses on Monday. The German Dax was up 0.87 per cent and the French Cac 40 had lifted 0.19 per cent by the end of the session. The pan-European STOXX 600 index rose 0.24 per cent.
Credit Suisse Group gained 1.9 per cent earlier in the day, as the bank agreed to sell its global trust business to The Bank of N.T. Butterfield & Son Limited and Gasser Partner Trust. It slipped back in late trading, however.
Shares of Siemens Energy also gave up early gains of 3.1 per cent after the company said during the weekend it had not been commissioned to carry out the repair work.
New York
The S&P 500 rebounded from a slide that reached 1 per cent earlier in the day. The tech-heavy Nasdaq was set for its seventh consecutive day of losses in what could be the longest such losing streak since November 2016.
Rate-sensitive shares of Apple, Amazon.com and Microsoft fell over 1 per cent each as benchmark US Treasury yields rose to their highest levels since June. Among the major S&P sectors, consumer discretionary, communication services and energy stocks fell the most while utilities held steady.
The Philadelphia SE Semiconductor index fell 1.4 per cent for a seventh day running. The CBOE Volatility index, also known as Wall Street’s fear gauge, rose to 27.1 points.
Bed Bath & Beyond fell 14.8 per cent after chief financial officer Gustavo Arnal fell to his death from New York’s Tribeca skyscraper.
Digital World Acquisition tumbled 19.9 per cent after Reuters reported the blank-check acquisition firm that agreed to merge with Donald Trump’s social media company failed to secure enough shareholder support for an extension to complete the deal. — Additional reporting: Reuters/Bloomberg/PA
