European Stocks Extending Gains As Investors React To Results, Economic Data

(RTTNews) - European stocks are up in positive territory on Friday, extending recent gains with investors focusing on earnings updates and the latest batch of economic data. Easing worries about aggressive rate hikes by the Federal Reserve contribute as well to the positive mood in the markets.

The pan European Stoxx 600 is rising 0.9%, the U.K.'s FTSE 100 is gaining 0.35%, Germany's DAX surging 1.2% and France's CAC 40 is climbing 1.54%.

In the UK market, Natwest Group shares are up 7.5% on strong quarterly earnings. Standard Chartered also reported impressive results, but the stock is up just marginally.

Ocado Group, Fresnillo, Aveva Group, Scottish Mortgage, B&M European Value Retail, Rolls-Royce Holdings, Antofagasta, Barclays and Futter Entertainment are gaining 3 to 6%.

Avast, Intertek Group, RightMove, Centrica, British American Tobacco, Compass Group and Imperial Brands are down 2 to 4%.

AstraZeneca is down sharply despite the company raising its revenue outlook, saying it expects prescriptions of its Covid therapy to drive sales growth of more than 20% this year.

In Paris, Atos, Capgemini, Hermes International, Faurecia, Air France-KLM, Renault, Unibail Rodamco, BNP Paribas, Societe Generale and Valeo are up 4 to 8%.

In the German market, Zalando is up more than 8%. HelloFresh, Infineon Technologies, HeidelbergCement, Brenntag, E.ON, Covestro, Deutsche Bank and BASF are up 2 to 4%.

In economic news, data from Destatis showed the German economic growth stalled in the second quarter of the year. That compared to expectations of a 0.1% rise. The previous quarter's growth was revised as 0.8% versus the preliminary estimate of a 0.2% growth.

Data from Eurostat showed the Eurozone economy grew 0.7% in the June quarter, versus market expectations of a 0.2% growth. The first quarter's growth stood downwardly revised to 0.5%.

Annual inflation rate in the Euro Area increased to a new record high of 8.9% in July, versus 8.6% in June, which the markets were expecting.

The seasonally adjusted unemployment rate in Germany also increased to a nine-month high of 5.4% in July.

Data released by Insee earlier in the day showed France's second quarter GDP grew at 0.5%, versus expectations of 0.2% growth and the 0.2% contraction in the previous period.

Meanwhile, another data from Insee showed annual inflation rate in France increased to 6.1% in July from 5.8% in June. The reading is the highest since July of 1985, and is higher than the market forecast of 6%.