European stocks rise as STMicroelectronics' forecasts lift tech stocks

ReutersTue, June 2, 2026 at 7:34 AM UTC

0

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, June 1, 2026. REUTERS/Wolfgang Rattay

June 2 (Reuters) - European shares opened higher on Tuesday as strong forecasts from chipmaker STMicroelectronics lifted technology stocks, while ‌investors awaited a key inflation report later in the ‌day for insights into how the Mideast conflict has affected the euro zone ​economy.

The pan-European STOXX 600 index rose 0.7% to 625.20 points by 0715 GMT. Technology stocks led sectoral gains with a 2.4% rise.

Chipmaker STMicroelectronics rose 9.8% to hit 65.1 euros, its highest since September 2000, ‌after lifting revenue targets ⁠for its data centre business, signalling strong demand from the AI boom.

Other AI-related stocks such as Infineon ⁠and Schneider Electric added 5.2% and 2.4%, respectively.

Lebanon announced a partial ceasefire between Hezbollah and Israel on Monday following a brief escalation ​of hostilities, ​which also aided risk sentiment.

Advertisement

Crude ​prices eased about 1% as ‌investors pinned hopes on U.S. President Donald Trump's remarks that talks with Iran were ongoing, despite a report saying that Tehran had suspended indirect negotiations with Washington.

Still, at $94 a barrel, energy prices will likely remain painful, analysts said.

A report on euro zone consumer ‌inflation, due later in the day, ​is expected to show consumer prices rose ​3.2% in May on ​an annual basis from the month before.

Traders expect ‌the European Central bank to hike ​interest rates by ​25 basis points when it meets next week, according to data compiled by LSEG.

Among individual shares, Abivax fell 27% after ​the French drugmaker ‌published the late-stage trial results for its inflammatory bowel ​drug.

(Reporting by Utkarsh Tushar Hathi and Johann M Cherian ​in Bengaluru; Editing by Janane Venkatraman)

Original Article on Source

Source: “AOL Money”