European stocks are up amid new reports
Companies show stable performance.
European stocks went up on April 27. Airline stocks led the charge, surging on enthusiasm caused by the government help, as well as positive earnings reports.
The stock of Lufthansa went up 7.2%. German government is expected to reveal its decision concerning the support of the company soon. Meanwhile, Air France gained 5.2%, following the news of a 7 billion euros relief package.
Promising Q1 earnings reports positively impacted the sentiments on the market. German drugs and pesticides company went up 2.8%. Deutsche Bank gained 7.7%. Both showed a great performance in the first quarter of 2020 and surpassed the forecasts.
At the same time Adidas stock lost 1.6%, following a reported 93% drop in Q1 profits. The company also issued a warning of a harder impact on its Q2 revenue.
By 07:20 GMT the pan-regional STOXX 600 went up 1.7% - a further development of the gains seen on the Asian markets, which were have been caused by the Bank of Japan’s commitment to purchase unlimited amount of bonds.
Last week the European benchmark closed on losses, impact by insufficient info on a trillion-euro fund planned by the EU members. Nevertheless, investors remain optimistic about further stimulus development by the European Central Bank. The meeting is scheduled on Thursday.