INSUBCONTINENT EXCLUSIVE:
LONDON: Miners, autos, tech, and oil stocks all surged on Monday, driving Europe's main benchmarks up strongly after US and Chinese
leaders agreed a temporary truce in an ongoing trade war which has roiled global financial markets.
Germany's DAX - the most sensitive to
China and trade war fears - led the way with a 2.5 per cent rise, hitting its highest level since Nov 14
The pan-European STOXX 600 climbed 1.9 per cent, on track for its strongest day in eight months.
US President Donald Trump and Chinese
premier Xi Jinping brokered a trade war truce at Saturday's G20 dinner, agreeing to halt additional tariffs with fresh talks aimed at
reaching an agreement within 90 days.
Financials were the biggest boost to European shares as China-exposed bank HSBC rose and lenders
across the region cheered the prospect of a detente in a trade war, which has dented world economic growth prospects.
Mining stocks led
gains with a 5 per cent rise as metals prices surged on the news which gives China, the world's biggest metals consumer, more wiggle room
in the next few months.
Antofagasta, Anglo American, and Glencore were among the top European gainers, up 6.1 to 6.9 per cent.
Car stocks,
which have been battered by fears of rising tariffs, jumped 4.2 per cent after Trump said that China had agreed to cut import tariffs on
American-made cars.
German carmakers Daimler, BMW, and Volkswagen climbed 4.8 to 6.2 per cent while auto suppliers also rose
Tyre maker Continental gained 4.1 per cent and Faurecia was up 6.9 per cent.
The oil sector also jumped 2.6 per cent as crude soared on the
trade war truce and ahead of this week's OPEC meeting, expected to result in a supply cut.
Luxury stocks highly sensitive to the Chinese
economy were also among top gainers, with heavyweight conglomerate LVMH up 5.3 per cent
Gucci owner Kering rose 6.2 per cent
(Reporting by Helen Reid; editing by Josephine Mason)
