European Stocks Snap 2-Day Drop as Lloyds Results Buoys Lenders

European stocks climbed for the first time in three days as Lloyds Banking Group Plc led bank gains after posting earnings, and energy shares advanced.

Lloyds jumped 9.3 percent after raising its dividend and introducing a special payment. NN Group NV climbed 6.3 percent after quarterly earnings jumped 82 percent. RSA Insurance Group Plc rallied 6.4 percent after saying operating profit rose 43 percent last year.

The Stoxx Europe 600 Index added 1.2 percent at 8:16 a.m. in London. Total SA and Royal Dutch Shell Plc advanced 1.9 percent or more, pushing energy shares up for the first time in three days. U.S. stocks rebounded yesterday, reversing declines after European markets closed, as technology and commodity shares rallied.

Europe’s equity gauge has been particularly volatile this year on concern over China’s slowdown, routs in banks and oil, and dissipating faith in central-bank support. After reaching a three-week high on Monday amid a rally in miners, the Stoxx 600 fell for the next two days as sliding oil prices stoked reignited global-growth worries. It hasn’t posted back-to-back gains since December.

The U.K.’s FTSE 100 Index posted the biggest gain among western-European markets today. Gains in Lloyds and RSA pushed the benchmark up 1.6 percent.

Among other shares active on corporate news, Anheuser-Busch InBev NV dropped 1.3 percent after the brewer’s quarterly earnings missed estimates. Zodiac Aerospace tumbled 23 percent after forecasting a recovery will take longer than the 18 months initially planned and saying it won’t meet its full-year operating margin target.

Source: Bloomberg

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Asia Stocks Rise as U.S. Consumer Spending Buoys Economic Growth

Asian stocks rose in low trading volumes after a report showed American consumer spending supported growth in the world’s largest economy and gains in crude oil boosted energy shares.

The MSCI Asia Pacific excluding Japan Index gained 0.7 percent to 409.99 at 4:01 p.m. Hong Kong time. The Hang Seng Index gained 1 percent, with about one-quarter of the usual shares changing hands, and Australia’s S&P/ASX 200 Index climbed 0.5 percent, with volume about 45 percent below its 30-day average. South Korea’s Kospi index rose 0.3 percent, with Japanese markets closed for a holiday. Energy and materials shares, this year’s worst performers, led gains.

Climbing oil prices and a rally in U.S. shares laid the groundwork for advances in Asian indexes on Wednesday. The Standard & Poor’s 500 Index gained for a second day Tuesday as figures showed gross domestic product climbed at a revised 2 percent annualized rate last quarter and West Texas Intermediate rose above $ 36 a barrel.

Source : Bloomberg

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