European stocks climbed toward a record high on Thursday morning, supported by gains in mining and basic resources companies, while technology and semiconductor shares came under pressure.
The pan-European STOXX 600 rose 0.7% to 661.99 points by 09:05 GMT, placing it close to its all-time peak. Major regional markets also advanced, with Spain’s IBEX leading the gains, up 1.7%.
Basic resources stocks rose around 2%, helped by a 5% increase in ArcelorMittal shares after the steelmaker reported core earnings above expectations. The sector’s strength helped offset losses among companies exposed to semiconductor manufacturing and artificial intelligence investment.
Chip-related shares struggled as investors assessed whether greater scrutiny of data-centre expansion in the United States could slow spending. Siltronic fell 7.3%, ASML declined 2.4%, and Soitec dropped 4.8% during the morning session. However, the weakness was uneven: Legrand gained 5.5% after raising its annual sales-growth forecast on strong data-centre demand.
Company earnings also drove sharp moves elsewhere. Air France-KLM rose more than 11% after exceeding quarterly operating-profit expectations, while German defence group Rheinmetall fell 16.5% after reducing its annual sales outlook.
Broader sentiment benefited from falling oil prices and investor hopes that the U.S. election outcome could reduce trade-policy uncertainty and encourage efforts to end the Iran conflict. Analysts nevertheless cautioned that renewed increases in energy costs could weaken Europe’s market outlook.
