LIVE MARKETS-Consumer stocks push STOXX close to August peak

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CONSUMER STOCKS PUSH STOXX CLOSE TO AUGUST PEAK

European shares extended their post-midterm rally on Thursday, as a rebound in consumer stocks after months of pressure from high energy costs helped lift the STOXX 600 to within striking distance of its August record high.

The pan-European index .STOXX gained 0.6%, also supported by gains in materials, autos, banks, real estate and software as investors kept rotating out of chip stocks that have led much of the global bull market in recent years.

Oil and gas .SXEP led decliners, falling over 1% to a one-month low, while travel and leisure .SXTP hit a record high, as airlines rallied on bets that easing tensions in the Middle East could lower fuel costs and support travel demand.

Luxury .STXLUXP, another sector sensitive to tourism flows and consumer confidence, were also among the strongest gainers, rising 2%. Brent prices firmed just above $95, but remained on track for their biggest weekly drop since 2020.

In London, the mid-cap FTSE 250 .FTMC rose 1% to a record high, while the FTSE 100 .FTSE touched a three-month peak ahead of an expected Bank of England interest-rate hike later in the day, which would be its first in three years.

(Danilo Masoni)

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