Europe: Shares jump; British stocks drop ahead of Brexit vote

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[MADRID] European shares jumped at the open, following a strong session in Asian markets, as Monday's rebound continued. UK shares fell as Brexit again takes central stage for investors. Read more at The Business Times.

European shares jumped at the open, following a strong session in Asian markets, as Monday's rebound continued. UK shares fell as Brexit again takes central stage for investors.[MADRID] European shares jumped at the open, following a strong session in Asian markets, as Monday's rebound continued. UK shares fell as Brexit again takes central stage for investors.

The Stoxx Europe 600 Index rose 0.5 per cent, led by banks and basic resources shares. Tech companies followed strong gains in the US after a US$6.9 billion deal in the semiconductor sector and an upgrade to Apple Inc. Adyen NV shrank 4.7 percent after some minority shareholders sold about 8 percent of the capital. Italian shoemaker Tod's SpA fell after reporting earnings that missed analyst estimates.

British parliament will vote later Tuesday on a new Brexit deal after Prime Minister Theresa May and the European Commission President Jean-Claude Juncker agreed late Monday to some last minute changes to the divorce agreement. The FTSE 100 was the only index among the large European markets in the red in early trading.

"The changes seem minimal and I would be skeptical the Parliament approves the new deal," Miguel Angel Garcia, chief investment officer at Diaphanum Valores, said."The strength of the pound translates into bad news for companies on the FTSE, so we could see looses in UK shares today although it should be a positive day for European shares overall."

 

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