European stock markets experienced a modest uptick on Wednesday, despite ongoing concerns regarding inflation and potential interest rate adjustments. The euro lingered near its lowest value against the dollar in several years as investors shifted their attention to the upcoming U.S. payroll report, expected on Friday, which could influence future Federal Reserve decisions on interest rates.
In closer regional news, data revealed a 5.4% decline in German industrial orders for November, indicating a continued downturn in the nation’s manufacturing sector. In an unexpected development, German retail sales also saw a reduction, undermining optimistic projections for a spending increase due to seasonal promotions like Black Friday and Cyber Monday. The federal statistics office reported a 0.6% decrease in real retail sales compared to the previous month.
Investors are anticipated to pay close attention to upcoming figures on European consumer confidence and economic sentiment later in the day.
The pan-European STOXX 600 index rose by 0.2% to 515.62. Meanwhile, the German DAX and the UK's FTSE 100 both experienced slight increases of 0.2%, while France's CAC 40 dipped marginally.
The technology sector saw pressures from rising bond yields and the looming threat of possible U.S. tariffs, leading to a more than 1% decline in Infineon Technologies. Additionally, Shell's shares dropped by 1.6%, following the company's upward revision of its fourth-quarter LNG production expectations.
Conversely, Swiss healthcare powerhouse Roche gained 0.5% after finalizing a tender offer for shares of Poseida Therapeutics. In contrast, Flutter Entertainment saw a 2.6% slide after adjusting its U.S. revenue and profit forecasts downward for 2024.
Notably, TeamViewer SE, a prominent software provider for remote computer access and management, saw its shares jump by 11.7%, buoyed by full-year revenue exceeding projections.
