European stocks halted a two-day gain amid disappointing earnings releases, while Greek shares rallied after a report that the nation won access to more emergency funding for its banks.
Kering SA lost 3.9 percent as it posted a worse-than-expected drop in revenue at its Gucci brand, and Tesco Plc slid 5.2 percent after reporting its biggest annual loss ever. Greece’s benchmark ASE Index climbed 2.1 percent, the most among western-European markets, with its banks gaining the most in almost two months.
The Stoxx Europe 600 Index slipped less than 0.1 percent to 408.99 at the close of trading in London. It earlier rose as much as 0.6 percent and fell 0.8 percent. Retailers declined 1.4 percent, falling the most among 19 industry groups.
“Positive news are priced in and everyone is waiting for more good news,” said Christian Stocker, a strategist at UniCredit Bank AG in Munich. “What we now need is a strong increase in earnings momentum.”
The Stoxx 600 climbed 1.4 percent in the past two days, closing within 1.2 percent of the record it reached earlier this month. It’s rallied 19 percent this year as the European Central Bank embarked on a quantitative-easing program.
Greece’s ASE rose after closing at its lowest level since 2012. Its banks jumped 13 percent, rebounding from a record low. Piraeus Bank SA and Eurobank Ergasias SA rallied more than 21 percent.
The ECB’s Governing Council raised the cap on Emergency Liquidity Assistance by about 1.5 billion euros ($1.6 billion) to 75.5 billion euros in a teleconference on Wednesday, people familiar with the decision said.
Among other stocks moving on earnings, Heineken NV declined 3 percent after the world’s third-biggest brewer posted sales that advanced less than analysts projected. Roche Holding AG gained 1.8 percent after reporting first-quarter revenue that beat analysts’ estimates.
Volvo AB rallied 15 percent and Rolls-Royce Holdings Plc gained 4.1 percent after the companies named new chief executive officers.
ASML Holding NV jumped 11 percent, the most since July, after Europe’s largest chip-equipment maker won its biggest order yet for a new type of machinery it’s betting on to boost sales. That sent technology companies for the biggest gains among Stoxx 600 industry groups and to a 13-year high.