European shares rise on mining gains; tech lags
- The pan-European STOXX 600 index rose 0.5% to 660.33 points
European shares opened higher, boosted by mining companies, while technology stocks lagged due to concerns over a Democratic sweep in the US midterms impacting AI development. Oil prices also eased.
- Mining sector's strong performance and key gainers.
- Impact of US midterm election results on technology stocks.
- Reasons for Rheinmetall's significant share price decline.
European shares opened higher on Thursday, led by gains in mining companies, while technology shares lagged as investors weighed the implications of a Democratic sweep in the US midterm elections on the sector.
The pan-European STOXX 600 index rose 0.5% to 660.33 points by 0807 GMT and was near a two-month high it hit in the previous session.
Basic resources rose 2.7%, boosted by ArcelorMittal’s 6% gain after the world’s second-largest steel maker topped core profit expectations.
Markets also took comfort from Brent crude prices that traded below $100-a-barrel on expectations that the recent loss for Republicans could prompt President Donald Trump to avoid escalating the conflict with Iran.
Technology stocks came under pressure, with ASML down 2.7% and Soitec off 4.5%, tracking declines in Asia, on concerns that increased scrutiny by Democrats could slow down AI buildout in the US.
Rheinmetall slid 14% after cutting its 2026 sales forecast for the second time in three months, saying it no longer expected a contract award this year for Germany’s Arminius Boxer vehicle programme and that revenue from artillery ammunition would be delayed by slower batch approvals.