European stocks opened higher on Friday with investors cheering news of an interest payment by debt-ridden China Evergrande Group.
The pan-European Stoxx 600 was up 0.42% in early deals. Asian shares rose on reports the world’s most indebted company had wired funds for a dollar bond interest payment, just before a deadline that would have seen the property developer go into formal default.
Britain’s FTSE 100 was up despite an unexpected 0.2% fall in retail sales.
Richard Hunter, head of markets at interactive investor, said consumers continued to snub the high street “in favour of an escalating trend of socialising which has become a factor since the easing of lockdown restrictions”.
“Online sales remain elevated in a post-pandemic switch in behaviour, and the widely reported fuel shortages which began in late September fed through to a 2.9% rise in sales. Attention will now begin to switch towards the festive season and whether the situation can be recovered, alongside the further pressures of supply chain blockages and labour shortages,” he said.
In equity news, French cosmetics giant L’Oreal saw its shares top the Stoxx with a 6% gain after posting strong revenue growth on demand for its luxury lines and growth in China, while tissue maker Essity gained 5.2% after setting a new target to ramp up sales.
Thule Group shares rose 5.4% as the company reported third quarter sales growth of 14%.
London Stock Exchange fell 3.53% as its computer systems suffered a technical outage preventing market data from being broadcast. In a separate statement the bourse reported a 2% rise in third quarter revenue.
French vehicle maker Renault slipped 1.2% after the company said production losses this year would be far larger than previously forecast owing to a global chip shortage.
Swedish mining firm Boliden dropped 4.8% as its third-quarter operating profit fell below market forecasts, pressured by higher costs and lower volumes.
