European Stocks Close Mostly Higher

(RTTNews) - European markets closed mostly higher on Tuesday, supported by gains in defense sector amid renewed concerns about tensions in the Middle East, and a lack of progress in Russia-Ukraine peace efforts. Slightly easing U.S.-China trade tensions, and expectations of a resolution to the government shutdown in the U.S. aided sentiment.

In addition to digesting a slew of corporate news, investors looked ahead to quarterly earnings announcements from big name European companies. A sell-off in shares of mining companies following a sharp drop in gold prices limited markets' upside.

The FTSE 100 index of the U.K. market is modestly higher on Tuesday with investors picking up stocks ahead of quarterly earnings announcements from big name companies, due from this week. Slightly easing U.S.-China trade tensions appear to be aiding sentiment a bit.

The pan European Stoxx 600 gained 0.21%. The U.K.'s FTSE 100 climbed 0.25%, Germany's DAX ended higher by 0.29%, and France's CAC 40 climbed 0.64%. Switzerland's SMI edged down by 0.1%.

Among other markets in Europe, Austria, Belgium, Finland, Greece, Ireland, Norway and Sweden ended higher.

Denmark, Iceland, Poland, Portugal, Russia, Spain and Turkiye closed weak. Czech Republic and Netherlands ended flat.

In the UK market, Segro climbed 2.85%. The warehousing group has delivered a strong third quarter, supported by improving occupier sentiment and increased pre-letting activity.

Melrose Industries surged 5.3%. JD Sports Fashion gained 3%. Whitbread, WPP, Persimmon, Pearson, Auto Trader Group, Burberry Group, Berkeley Group Holdings, Rentokil Initial, Beazley and Relx gained 1.5 to 2.85%.

Fresnillo plunged 12.2%. Endeavour Mining tanked 9.7%. Entain, Anglo American Plc., Antofagasta, British American Tobacco, Glencore and Metlen Energy & Metals lost 1 to 3.2%.

In the German market, MTU Aero Engines climbed about 5%. Infineon Technologies surged 3.3%. Merck, Rheinmetall, Symrise and Vonovia gained 1 to 1.8%.

Siemens Energy closed lower by about 2.4%. Commerzbank, BASF and Deutsche Bank lost 1 to 1.6%.

In the French market, Edenred soared nearly 20%. The vouchers and benefit cards provider reported third-quarter revenue above expectations.

Edenred's operating revenue increased 8% year over year on a like-for-like basis to €667 million, significantly exceeding expectations. The company also confirmed its full-year guidance.

Teleperformance climbed 6%, Capgemini surged 5.4% and Stellantis gained nearly 5%.

STMicroelectronics, Michelin, Airbus, Safran, Dassault Systemes, Publicis Groupe, Hermes International, Bureau Veritas and Renault also closed with strong gains.

Eurofins Scientific closed lower by more than 2% after the company said that the revenue in its BioPhmara segment grew just 0.4% organically in the third quarter.

BNP Paribas and ArcelorMittal also ended notably lower.

In economic news, the UK budget deficit widened in September on higher expenditure, data from the Office for National Statistics showed.

Public sector net borrowing increased to GBP 20.2 billion from GBP 18.6 billion in the previous year. This was the highest September borrowing since 2020.

Data showed that current receipts increased 8.6% from the previous year to GBP 86.2 billion, and current expenditure rose 9.8% to GBP 90.6 billion.

In the financial year to September, borrowing rose by GBP 11.5 billion from the last year to GBP 99.8 billion.

The deficit hit the second-highest April to September level since records began in 1993. Moreover, this was above the official forecast of GBP 92.6 billion.