FRANLFURT/MILAN: European stocks extended gains on Tuesday after posting their best session in four months a day earlier, as gains in shares of oil and utility companies helped counter losses in miners. The pan-European STOXX 600 edged 0.3% higher after opening lower, with energy and utility sectors rising more than 1.5% each.
Danish jewellery maker Pandora A/S jumped 7% to the top of STOXX 600 after reporting a 12% rise in organic sales in February. The continent's stock markets have come under pressure as a jump in bond yields on the back of quick vaccine rollouts and a massive US fiscal package has fanned worries about a potential rise in inflation.
Still, major European indexes have fared better than some of their tech-heavy US peers. The MSCI Europe value index, which includes banking, energy and auto stocks, have risen about 9% so far this year, while its growth counterpart that tracks tech and healthcare stocks is up just 0.9%.
Miners fell 1% as Dalian iron ore futures tumbled by the 10% daily limit on anti-pollution restrictions in China's top steelmaking city of Tangshan, while metal prices were also hit by a firm dollar. UK-listed miners Rio Tinto, BHP Group and Anglo American fell between 1.2% and 2.4%, weighing on the commodity-heavy FTSE 100.
Among other stocks, British insurer and asset manager M&G Plc gained 6% after it posted better-than expected 2020 operating profit in its first full year as a standalone company. German automotive parts maker Continental AG fell 5.1% after it forecast 2021 outlook below expectations.
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