Daily Mail and General Trust Plc surged 8.9 percent after announcing Zoopla Property Group’s initial public offering. Raiffeisen Bank International AG added 6 percent after posting first-quarter profit that beat analysts’ estimates. Royal Mail Plc slid the most since its initial public offering last year after reporting earnings that missed projections.
The Stoxx Europe 600 Index rose 0.2 percent to 341.02 at the close in London. The benchmark gauge reached a six-year high on May 13, as mergers-and-acquisitions activity increased and European Central Bank President Mario Draghi said policy makers are ready to ease monetary policy next month if necessary.
“The China manufacturing data is good news,” said Jacques Porta, who helps oversee $780 million at Ofi Gestion Privee in Paris. “It will have a positive impact on Europe, especially on mining stocks. The bad euro-area PMI data could add to signs that the ECB will be obliged to intervene soon. The downside risk to stocks is that the ECB doesn’t act in June.”
In China, a preliminary purchasing managers’ index from HSBC Holdings Plc and Markit Economics rose to 49.7 in May, a five-month high. That exceeded the 48.3 median estimate of analysts surveyed by Bloomberg News. April’s final reading was at 48.1. Readings below 50 signal contraction.
A gauge of commodity producers was among the best performers out of 19 industry groups in the Stoxx 600. Rio Tinto Group, the world’s second-biggest miner, advanced 1.3 percent to 3,230 pence and Fresnillo Plc, a silver and gold producer, gained 1.9 percent to 845 pence.
A Markit preliminary report showed that manufacturing in the U.S. rose to 56.2 in May from 55.4 in April, surpassing the 55.5 reading projected by economists in a Bloomberg survey. A similar gauge for the euro area fell to 52.5 this month from 53.4 in April. The median estimate of economists surveyed by Bloomberg was for 53.2.
Minutes from the Federal Open Market Committee’s April 29-30 meeting showed that policy makers said that continued stimulus won’t increase inflation. Some members also said the Federal Reserve should communicate its monetary strategy more clearly as it moves closer toward increasing interest rates.
A Labor Department showed 326,000 Americans filed for jobless claims in the week ended May 17, following a revised 298,000 in the previous period. Economists had predicted 310,000. Sales of previously owned U.S. homes climbed in April for the first time in four months, according to another report.
Daily Mail rallied 8.9 percent to 908.5 pence. Zoopla, owner of real estate websites Zoopla and PrimeLocation, plans to list on the London Stock Exchange, Daily Mail said, without giving financial details. The publisher merged Zoopla with its property division in 2012 and owns 52.6 percent of the unit.
Raiffeisen Bank climbed 6 percent to 23.46 euros. The Austrian lender reported first-quarter net income of 161 million euros ($220 million), exceeding the 128-million euro average of analyst estimate in a Bloomberg survey.
SABMiller Plc added 3.5 percent to 3,372 pence. The world’s second-biggest brewer said full-year earnings before interest, taxes and amortization rose 1.2 percent to $6.45 billion. That compared with the $6.44 billion median estimate of analysts surveyed by Bloomberg News. Excluding acquisitions and currency swings, Ebita rose 7 percent, as profit increases in Latin America and Africa offset declines in Europe.
Royal Mail tumbled 9.7 percent to 519 pence. The U.K. postal service reported full-year pretax profit excluding some items of 363 million pounds ($613 million), missing the average analyst estimate of 406 million pounds in a Bloomberg survey.
Logitech International SA slid 4.4 percent to 11 Swiss francs after saying it will delay filing its annual report because of an accounting investigation. The maker of computer accessories said its audit committee and independent advisers are reviewing previously issued financial statements. Some of those issues are also part of a formal Securities Exchange Commission probe, Logitech said.
Electrocomponents Plc retreated 2.9 percent to 280.6 pence after saying full-year revenue at its U.K. business declined 2 percent. The distributor of electronics products said that sales trends in the second half of the year didn’t improve as much as it had forecast.
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