European stocks closed higher on Tuesday, extending their sharp gains from the previous session amid easing trade war concerns with the United States and fresh support from the defense sector.
The STOXX 50 gained 0.6% to close at 5,425 and the pan-European STOXX 600 gained 0.5% to 553. U.S. President Trump said European Union officials were rapidly holding talks for a trade deal with the U.S., aiming to roll back tariffs imposed by the White House and adding to the president's positive rhetoric on trade that had sent stocks sharply higher in the previous session.
On the economic front, German and eurozone GfK sentiment surveys improved in May. Technology stocks led gains in the currency bloc to follow the positive momentum of their North American peers, with ASML and SAP each up more than 1%. Defense also rose sharply, with Airbus, Rheinmetall, BAE Systems and Leonardo each adding more than 2% after Trump threatened sanctions on Russia. (alg)
Source: Trading Economics
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