European markets rebound higher, as Nasdaq futures rebound


European stocks rose on Wednesday, propelled higher by oil companies and drugmakers, although shares of AstraZeneca PLC fell after temporarily halting testing of its COVID-19 candidate.
US equity futures also indicated a rebound later, with tech stocks poised to lead the gains.

The Stoxx Europe 600 SXXP index,
+ 0,74%
rose 0.7% after falling just over 1% on Tuesday. The index has fallen seven of the last nine trading sessions. Elsewhere, the German DAX DAX,
+ 0,94%
increased by 0.8%, the French CAC 40 PX1,
+ 0,71%
up 0.6% and the FTSE 100 UKX,
+ 0,94%
gained almost 1%.
UK equities broke away from the weakness of the pound GBPUSD,
which fell 0.4% against the dollar after the UK told the EU it was preparing to exit the bloc without any deal. A weak pound can benefit UK companies that earn income from overseas as it makes their products more competitive. Stock futures have indicated a stronger potential start for Wall Street, with Nasdaq-100 NQ00 futures,
+ 1,81%
up 1.5%. Dow YM00,
+ 0,50%
et S&P 500 futures ES00,
+ 0,76%
increased by about 0.5% each.
Le Nasdaq Composite COMP,
fell 4.1% on Tuesday, as electric carmaker Tesla suffered its biggest drop in a day. Dow DJIA industrialists,
fell 632 points, or 2.3%, and the S&P 500 SPX,
fell 2.8%.
“There is not yet a clear signal that the index has passed an inflection point, although there remains the possibility that the pandemic-fueled rise in recent months will subside as the world returns to kind of normal, ”said Richard Hunter, head of markets at Interactive Investor, in a note to clients.
Actions d’AstraZeneca PLC AZN,
+ 2,10%
fell 1% after the drugmaker suspended late-stage testing of its COVID-10 vaccine candidate after a patient fell ill, likely due to a reaction to treatment.
“This is a routine action that should occur whenever there is a potentially unexplained disease in any of the trials, while it is under investigation, ensuring that we maintain integrity of testing, ”the company said in a statement Tuesday evening.
“These setbacks are not unusual in testing, and standard review processes trigger pauses to investigate the data,” Stephen Innes, chief global market strategist at AxiCorp, in a note to clients.
Other drugmakers fared better, with shares of Roche Holding AG ROG,
+ 0,66%
up 0.8% and GlaxoSmithKline PLC GSK,
+ 2,37%
up 2%.
Gains by major oil companies supported major European indices, with shares of Royal Dutch Shell PLC RDSA,
up 1.8%, BP PLC BP,
+ 2,78%
up 1.7% and Total SE FP,
+ 1,74%
increased by 1%.
Oil prices fell to their lowest level since June on Tuesday, as the continued rise in global pandemic cases would reduce demand. CL.1 gross futures,
+ 1,79%
were slightly higher on Wednesday.


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