EUROPE MARKETS: European Stocks Driven Higher By Auto Shares, Greek Bailout Deal
Nestlé seeking to sell U.S. unit
European stocks pushed higher Friday, with auto stocks and food producer Nestlé SA among the advancers, but the market was still facing a loss on a weekly basis.
The Stoxx Europe 600 rose 0.6% to 388.30. All sectors were up, led by the industrial, consumer goods and tech groups.
"Markets are welcoming positivity on the Greek debt front, offsetting that more hawkish Fed stance from mid-week," said analysts at Accendo Markets in a note.
Greek stocks were higher, with the Athex Index up 1.3% after the country's creditors agreed to release the next tranche of its EUR86-billion ($96.5-billion) (http://www.marketwatch.com/story/greece-reaches-deal-to-unlock-next-bailout-tranche-2017-06-16) bailout but put off a final decision on relieving Greece's crushing debt burden until August of next year.
In the consumer goods sector, shares of Nestlé SA (NESN.EB) were up 1.7% after the company put its U.S. confectionery business up for sale (http://www.marketwatch.com/story/nestle-exploring-sale-of-us-confectionery-unit-2017-06-16) as it grapples with how to cater to U.S. consumers' increasing demand for healthy snacks.
For the week, the Stoxx 600 was still on course to fall by 0.5%. A loss would stem in part from a selloff in the tech sector during the week, which kicked off in U.S. tech shares including Apple Inc. (AAPL) . The Nasdaq Composite was looking at a 0.7% weekly decline.
The Stoxx Europe 600 Technology Index on Friday was up 0.7%, with chip maker Ams AG (AMS.EB) higher by 1.3% and Nokia (NOK) moving up 1%.
Auto stocks: Germany's DAX 30 was up 0.5% at 12,750.52, aided by gains among shares of auto makers after new car sales in the European Union rose 7.6% in May (http://www.marketwatch.com/story/eu-new-car-sales-rebound-with-76-rise-in-may-2017-06-16). The European Automobile Manufacturers' Association said sales rose the most in Germany and Spain, but fell in the U.K., the EU's second-biggest car market.
In Frankfurt, BMW AG (BMW.XE) tacked on 0.7% and Daimler AG (DAI.XE) picked up 0.5%. In Paris trade, shares of Renault SA (RNO.FR) claimed a 1.5% rise and Peugeot SA (UG.FR) bulked up 1.1%.
France's CAC 40 jumped 1% to 5,271.73. In focus Sunday will be the final round of voting in the country's parliamentary elections, and the upstart party led by newly elected French President Emmanuel Macron is expected to win a large amount of seats.
In London, the U.K.'s FTSE 100 gained 0.4% at 7,445.48.
(END) Dow Jones Newswires
June 16, 2017 05:10 ET (09:10 GMT)