European stocks rise as travel shares jump on Ryanair forecast



(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)

* Travel & leisure stocks snap 4-day losing streak

* Continental slumps on Vitesco spin-off

* Weaker metal prices weigh on miners

By Shreyashi Sanyal

Sept 16 (Reuters) - European stocks rose on Thursday as travel stocks snapped a four day losing streak after Ryanair lifted its long-term traffic forecast, offsetting concerns about China's slowing economy that dragged down miners.

The pan-European STOXX 600 index .STOXX climbed 0.4%, bouncing off a six-week closing low hit in the previous session.

Travel & leisure .SXTP stocks rose 3.4%.

Europe's largest low cost carrier Ryanair RYA.I jumped 7.9% after it raised its long-term traffic forecast. Rivals easyJet EZJ.L , British Airways-owner IAG IACG.L and Wizz Air WIZZ.L gained between 3.9% and 7%.

"It's been a slightly better day for markets in Europe, shrugging off a weak Asia handoff, with some decent gains for travel and leisure, which has enjoyed a respite after Ryanair's announcement," said Michael Hewson, chief market analyst at CMC Markets UK.

While Asian stocks came under pressure from concerns about China's economy and the fallout from debt-ridden developer China Evergrande Group's 3333.HK financial troubles, European stocks were on a firm footing as strong U.S. data reinforced optimism about a recovery in the world's largest economy.

Miners including Rio Tinto RIO.L , Anglo American AAL.L and BHP Group BHPB.L were among the top drags as metal prices fell after China reiterated plans to release more metals from its reserves.

German automotive supplier Continental AG CONG.DE fell 6.2% to the bottom of STOXX 600 after the spin-off of its unit Vitesco.

The utilities index .SX6P was flat after a near 3% fall on Wednesday. Spain passed emergency measures earlier this week to reduce energy bills, raising concerns over the hit to utilities' profits.

Spain's Endesa ELE.MC and Iberdrola IBE.MC extended losses for a third day to fall to their lowest since 2020.

Italy is also looking to introduce short-term measures to offset the expected rise in retail power prices, a minister said in a radio interview.

"Stocks in the sector are suffering from the risks of regulatory intervention, as in Spain, and it will be necessary to see how other governments in Europe will intervene," Equita analysts said.

"Current prices do not reflect high energy and gas prices."

Paris Match magazine owner Lagardere LAGA.PA surged 19.5% after media group Vivendi VIV.PA said it would buy another stake in the company, paving the way for a full takeover.

British fashion brand Superdry SDRY.L jumped 14.9% after it forecast a recovery in full-year 2022 revenue.



European utilities under pressure from regulatory intervention
Link



Reporting by Sruthi Shankar and Shreyashi Sanyal in Bengaluru
Editing by Shounak Dasgupta and Mark Potter

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

We are using cookies to give you the best experience on our website. Read more or change your cookie settings.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.