European stocks opened higher on Wednesday, extending their gains thanks to strong performance in healthcare stocks and robust quarterly earnings from Adidas (ETR: ADSGN), which pushed Germany's DAX index to record-breaking levels.
Market Performance
As of 08:22 GMT, the pan-European index rose 0.5%, reaching its highest level since September 27.
- The FTSE (LON: LSEG) in the UK climbed 0.25% to 8,569 points.
- Germany's DAX surged 1.05% to 21,262 points.
- France's CAC rose 0.51% to 7,811 points.
The healthcare sub-index, which includes major players in the sector, increased by 1.1%, driven by a 2.7% jump in Novo Nordisk shares.
Individual Stocks
- Adidas shares soared 6% after the German sportswear giant reported stronger-than-expected Q4 2024 earnings, with robust sales and profits. This also boosted Puma shares, which rose 2.5%.
- BMW (ETR: BMWG) gained 1.52%, trading at €79.02, following an upgrade from investment bank Berenberg, which changed its rating from "hold" to "buy."
Trade Concerns Persist
Despite the gains, global markets remain cautious due to U.S. President Donald Trump's pledge to impose new tariffs on the European Union.
Responding to the threats, European Central Bank President Christine Lagarde emphasized the importance of Europe being prepared for potential U.S. tariffs under President Trump. She stressed the need to evaluate possible trade policies and ensure readiness for any retaliatory measures.
