Investment accounts
Adult accounts
Child accounts
Choosing Fidelity
Choosing Fidelity
Why invest with us Current offers Fees and charges Open an account Transfer investments
Financial advice & support
Fidelity’s Services
Fidelity’s Services
Financial advice Retirement Wealth Management Investor Centre (London) Bereavement
Guidance and tools
Guidance and tools
Choosing investments Choosing accounts ISA calculator Retirement calculators
Share dealing
Choose your shares
Tools and information
Tools and information
Share prices and markets Chart and compare shares Stock market news Shareholder perks IPOs and placings
Pensions & retirement
Pensions, tax & tools
Saving for retirement
Approaching / In retirement
Approaching / In retirement
Speak to a specialist Creating a retirement plan Taking tax-free cash Pension drawdown Annuities Investing in retirement Investment Pathways
Europe close: Stocks broadly higher as oil prices drop
(Sharecast News) - European stocks mostly advanced on Wednesday as another drop in oil prices helped sentiment - though London's FTSE 100 was the only major index not to register gains. The pan-European Stoxx 600 Index finished the day up 0.3% at 444, having risen six out of the past eight trading sessions since hitting a ten-month low of 430 on 27 October. The index has risen by a total of 3.4% since then.
Markets across the continent were making gains of between 0.2% and 0.7%, while London stocks finished down 0.1%.
Chief market analyst at IG, Chris Beauchamp, said today's session was underpinned by another drop in oil prices and lower inflation expectations. Brent was down 1.3% at $80.54 a barrel by the close, continuing its descent from the $90 mark it reached at the end of October.
"After a slow start to the week, things have picked up for stocks. European markets have made solid gains while on Wall Street things are more muted," Beauchamp said.
"But overall the outlook in the short-term continues to look good for stock markets. Oil is down sharply from its highs and inflation expectations have come down too. Investors no longer seem to fear that more rate hikes are on their way, though they do seem to be getting a little ahead of themselves in anticipating multiple rate cuts in 2024."
In economic news on Wednesday, retail sales in the Eurozone fell by 0.3% in September, declining for the third straight month, according to data released by Eurostat. The decline was slightly worse than the 0.2% fall expected by analysts, though data for August was upwardly revised to -0.7% from the initial estimate of -1.2%.
Meanwhile, German inflation dropped to its lowest level in over two years last month as energy prices sank and food inflation slowed. The annual rate of consumer price increases eased to 3.8% in October, according to Destatis, matching the initial estimate previously published and its lowest rate since August 2021. This was a substantial slowdown from 4.5% the month before, and in line with economists' forecasts.
London bucks the trend
The FTSE 100 finished slightly lower, underperforming the rest of Europe's major indices, as heavy falls in the mining, financial and utility sectors offset strong gains in retail. Hargreaves Lansdown, National Grid, and Anglo American were among the heavy fallers - with the latter weighed down by the news of disappointing diamond sales from its De Beers division.
Marks & Spencer was the standout performer of the session on London's top-tier index, rising 9% after restoring its dividend and reporting a 56% surge in first-half profits. UK-listed sector peers Next, AB Foods and B&M were also rising after the results.
Sanofi was one of the biggest risers in Paris as the pharmaceutical giant attempts to bounce back from its share-price plunge in late-October. Despite finishing the day up 2.2%, shares are still down 15% over the past two weeks after a cut to its profit guidance disappointed investors.
Luxury groups LVMG, Kering and Hermes were also putting in decent gains on France's CAC 40, helped by positive readacross from American peer Ralph Lauren which surged on Wall Street after beating forecasts with its second-quarter profits.
Oil stocks across the continent fell as the price of crude declined, with TotalEnergies, BP, Shell and Eni finishing firmly lower.
Share this article
Related Sharecast Articles
Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.
Award-winning online share dealing
Search, compare and select from thousands of shares.
Expert insights into investing your money
Our team of experts explore the world of share dealing.
Policies and important information
Accessibility | Conflicts of interest statement | Consumer Duty Target Market | Consumer Duty Value Assessment Statement | Cookie policy | Diversity and Inclusion | Doing Business with Fidelity | Fidelity gender pay report | Investing in Fidelity funds | Legal information | Modern slavery | Mutual respect policy | Privacy statement | Remuneration policy | Security | Statutory and Regulatory disclosures | Whistleblowing policy
Please remember that past performance is not necessarily a guide to future performance, the performance of investments is not guaranteed, and the value of your investments can go down as well as up, so you may get back less than you invest. When investments have particular tax features, these will depend on your personal circumstances and tax rules may change in the future. This website does not contain any personal recommendations for a particular course of action, service or product. You should regularly review your investment objectives and choices and, if you are unsure whether an investment is suitable for you, you should contact an authorised financial adviser. Before opening an account, please read the ‘Doing Business with Fidelity’ document which incorporates our client terms. Prior to investing into a fund, please read the relevant key information document which contains important information about the fund.
This website is issued by Financial Administration Services Limited, which is authorised and regulated by the Financial Conduct Authority (FCA) (FCA Register number 122169) and registered in England and Wales under company number 1629709 whose registered address is Beech Gate, Millfield Lane, Lower Kingswood, Tadworth, Surrey, KT20 6RP.