Europe open: Shares shake off weaker Wall St to post gains

27th Feb 2024 08:00

(Sharecast News) - European markets defied expectations and opened slightly higher on Tuesday, despite a weaker showing on Wall Street as the recent equities rally ran out of steam.

The benchmark Stoxx 600 index edged up 0.07% to 495.72 with major markets higher. Asia-Pacific markets rebounded from negative territory in the afternoon session.

"US markets paused for breath after a strong run powered by a largely successful earnings season and renewed excitement over the potential of AI, which has driven the main indices to hover around record highs," said Interactive Investor Head of Markets Richard Hunter.

"At such elevated levels, expectations will tick up given more stretched valuations, while investors will continue to scrutinise the economic data which has so far defied estimates and lessened any pressure on the Federal Reserve to cut interest rates for the moment."

"As such, and in the absence of any high level data, Thursday's US Personal Consumption Expenditures report will take on additional significance, with a hotter than expected print likely to test the enthusiasm which investors have had so far this year."

In equity news asset manager Abrdn rose after annual results.

Reporting by Frank Prenesti for Sharecast.com