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Europe stocks end higher on miners, earnings; DAX up 0.58%

Published 10/20/2010, 12:03 PM
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Investing.com – European stocks reversed early losses to end higher on Wednesday, as strong earnings reports boosted investor sentiment, while mining sector stocks led markets higher. 

At the close of European trade, the EURO STOXX 50 was up 0.57%; France’s CAC 40 rose 0.62%; the FTSE 100 increased 0.45%; while Germany's DAX climbed 0.58%.

Shares in the commodity sector emerged as top performers as crude oil and metal prices rose. Shares in Xstrata soared 3.38%, stocks in BHP Billiton, the world’s largest mining group, surged 2.69%, while oil and gas producer Essar Energy saw its shares jump 3.30%.

In earnings news, German chemicals giant BASF saw its shares surge 2.47% after it said third quarter sales jumped 23%. The company also revised higher its full-year earnings forecast.

Meanwhile, shares in Autonomy Corporation, the U.K.’s second-largest software company, soared 4.50% after the company said third quarter revenue rose by 10% to USD 211 million, beating analysts’ expectations.

Elsewhere, shares in French automaker PSA Peugeot Citroen advanced 0.86% after the company lifted its 2010 earnings forecast, citing “improved visibility and recent performance.”

Elsewhere in the auto sector, shares in Renault SA soared 2.24%, German automakers Daimler jumped 1.85% and shares in BMW rose 0.68%.

Meanwhile, across the Atlantic, U.S. markets were up: the Dow Jones Industrial Average jumped 1.21%, the S&P 500 index climbed 1.12%, while the Nasdaq Composite index soared 1.23%.

Later in the day, the U.S. Federal Reserve was to release its Beige Book, a summary of the data the bank examines before setting the benchmark interest rate.

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