Equity markets continued to be supported by strong earnings and higher commodity prices on Tuesday.
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The Stoxx 600 Europe rose 0.2% in morning trading ahead of a reading on eurozone growth, while the FTSE 100 was up 0.5%.
Adding to raft of earnings reports, energy giant BP PLC rose 2.5% after the company returned to profitability in the second quarter on recovering oil prices. That helped boost the Stoxx 600 Europe Oil and Gas sector 0.9%.
British aircraft-engine maker Rolls Royce Holdings PLC also reported positive earnings after posting a first-half net profit, sending its shares up 6.6%.
"Equities are in an earnings driven market, surprising to the upside," said Terry Sandven, chief equity strategist at U.S. Bank Wealth Management.
Improvement in a closely watched private gauge of manufacturing in China helped Asian shares gain. The reading from Caixan and IHS Markit rose for a second straight month in July and hit the highest level since March. In contrast, Monday's government reading slowed slightly.
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"Today's unofficial PMI suggests that manufacturing activity has held up better than previously thought and points to a pickup in economic growth last month," said Julian Evans-Pritchard at Capital Economics.
Chinese stocks were already higher ahead of the report, and the Shanghai Composite Index was last up 0.6% after four consecutive sessions of gains. In Hong Kong, the Hang Seng Index hit fresh two-year highs, rising 0.7%, moving closer to 2015's peak.
Commodities also continued to climb Tuesday as global and U.S. oil benchmarks added to more than a week straight of gains.
That all helped push Australia's S&P/ASX 200 up 0.9% after the index lagged once again in July. Commodities-focused stocks were posting outsize gains, with Woodside Petroleum rising 2.3%.
Australia's central bank on Tuesday warned over recent strength in the Australian dollar and left its cash rate target on hold at a record.
The currency is well above the central bank's "equilibrium level," National Australia Bank said.
Korean stocks were also strong on Tuesday. The Kospi was up 0.8% amid gains in index heavyweight Samsung as well as carriers Asiana and Korean Air.
Japan's Nikkei rose just 0.3% as Tokyo equities continued to be capped by the weaker dollar; it was recently around Yen110.20.
The WSJ Dollar Index, which tracks the dollar against a basket of 16 currencies, was last up 0.1% after settling at its lowest since August.
Grace Zhu contributed to this article.
Write to Kenan Machado at email@example.com
(END) Dow Jones Newswires
August 01, 2017 04:02 ET (08:02 GMT)