2018-11-07
European shares rose on Wednesday after the US mid-term elections did not produce a big surprise, while the market was relieved after a series of strong earnings announcements and Spanish banks rose after a favorable tax judgment.
 
The Stoxx 600 European index rose 0.9 percent to a three-day high amid a large-scale rally that saw all major country and sector indices rise in early trade.
 
Democrats used the wave of dissatisfaction with US President Donald Trump to gain control of the House of Representatives on Tuesday, giving them the opportunity to stop Trump's programs and open its administration to close scrutiny.
 
The company's top-selling business results were led by Stokes, with Delphrey Hero and Ahold gaining 7 percent and 5.7 percent respectively, after strong business results. Adidas fell 5.1 percent after the sportswear company cut its target revenue as sales in Western Europe fell.
 
Spanish banks were in the spotlight after the Supreme Court ruled on Tuesday that banks should not be required to pay a stamp duty on mortgages, which would exempt banks from repaying billions of euros to borrowers who had been paying the tax for themselves for years.
 
Shares in Sabadil, BPVA, Santander and Bankia rose more than 3 percent.
 
Fresenius, the leading provider of dialysis services, topped the list, rising 8.4 percent after a proposed California vote to set a cap on kidney clinic profits.
 
Healthcare stocks rose broadly, with the sector index up 0.8 percent. Sector shares are affected by any change in US health care policies.