Tuesday 14 August 2018

European bourses stall as Publicis on up

Traders work on the floor of the New York Stock Exchange shortly before the closing bell. Photo: Reuters
Traders work on the floor of the New York Stock Exchange shortly before the closing bell. Photo: Reuters

Reuters

Advertising group Publicis and industrial stocks led European shares yesterday as strong results spurred them higher, while the main indices stalled, showing signs of fatigue after a two-day rally took them to six-week highs.

The pan-European STOXX 600 index ended flat, while European bourses closed little-changed.

With no major macroeconomic news, earnings dominated trading and Publicis led the pack, with its shares rising to the top of the after delivering a first-quarter sales beat helped by a rebound in North American activities.

Its shares jumped 7.3pc, boosting the media sector.

"The fact we have now had a second agency group (after US firm Omnicom on Tuesday) report top-line positive organic revenue growth should reassure", said Liberum analysts.

Publicis's British rival WPP gained 3.6pc as the results helped improve sentiment towards agencies.

In Ireland, the ISEQ Overall Index edged 0.28pc higher to end the session at 6,782.81.

Gainers included ferry group Irish Continental, which advanced 2.3pc to €5.78.

Gambling group Paddy Power Betfair gained 2pc to €84.80. Financial group IFG was among the decliners, its shares shedding more than 10pc to €1.65 a day after it announced a new chief executive and chairman.

Shares in recruitment firm CPL Resources were 2.6pc lower at €6.00.

The UK's FTSE-100 rose 0.1pc. France's CAC-40 was up 0.2pc and Germany's DAX was almost 0.2pc higher.

Swiss industrial equipment maker ABB rose 4.6pc after reporting its best start to the year since 2015.

Irish Independent

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