Strong Corporate Results Helped Boost European Stocks

European stocks traded higher on the second day of February, continuing a strong start this month. Alphabet’s better-than-expected results helped to boost European stocks.

The DAX in Germany gained 0.4%, and the CAC 40 in France added 0.3%. The U.K. FTSE 100 advanced 0.7%, while the pan-European STOXX 600 index gained 0.7%. 

Market gains are consistent with the positive momentum seen globally as investors attempt a comeback after a disastrous month. In January, the STOXX 600 index fell almost 4%. The first month of 2022 was its worst month since October 2020.

On Wednesday, Vodafone stock gained 2.9% after the company said it was on course to meet its full-year guidance. The company enjoyed growth in both Europe and Africa.

Novo Nordisk stock advanced 3.1% after the company said it aims to generate sales growth of between 6% and 10% in local currencies this year.

Santander reported a surge in fourth-quarter net profit; nonetheless, Santander’s stock dropped 1.1%. Its stock fell as the Spanish bank relied on lower loan-loss provisions for its positive results, comparing unfavorably with some of its regional rivals.

Novartis stock also declined. It dropped 1.3% after the company’s CEO said Novartis has not ruled out keeping its off-patent drugs unit Sandoz. 

U.S. stocks on Tuesday

U.S. stocks rose for the third day in a row on Tuesday as Wall Street tried to recover its footing after a wild January.

On Tuesday, the Dow Jones Industrial Average added 273.88 points or 0.8% to 35,405.24. The S&P 500 gained 0.7% to 4,546.54. The Nasdaq Composite added 0.7% to 14,346.

Bank stock played an important role on Tuesday. Goldman Sachs added 2.6%, and JPMorgan Chase advanced 1.7%. Wells Fargo gained more than 3.3%.

Big tech names like Facebook’s parent company Meta and Netflix contributed to the gains, rising 1.8% and 7%, respectively.