European shares open higher as luxury, mining stocks jump on China reopening hopes

Fri Nov 04 2022
Nikki Bailey (1332 articles)
European shares open higher as luxury, mining stocks jump on China reopening hopes

European shares opened higher on Friday, with luxury stocks and miners leading the advance on hopes that China will soon ease its strict COVID-19 curbs.

The STOXX 600 (.STOXX) rose 0.7% by 0813 GMT, with miners (.SXPP) jumping 3.2%, ahead of data which will likely show the smallest U.S. job additions in nearly two years in October and a small increase in the unemployment rate.

Luxury giants, including LVMH (LVMH.PA), Kering (PRTP.PA), Pernod Ricard (PERP.PA) and Hermes International (HRMS.PA), climbed between 0.9% and 2.5%. A report said Kering was in advanced discussions to buy fashion brand Tom Ford.
Both the sectors have major exposure to China, the world’s second-largest economy. Recent unsubstantiated social media posts stating China may relax its COVID rules in March has lifted investor optimism.

Nikki Bailey

Nikki Bailey

Nikki Bailey reports on US Stocks. She covers also economy and related aspects. She has been tracking US Stock markets for several years now. She is based in New York