European shares rise as UK homebuilder rally offsets oil, bond pressures
SPY•European shares rose 0.48% as British homebuilders gained 13.5% to 15% after the government announced a planned equity loan programme for first-time buyers. Gains were limited by a 3% rise in Brent crude and elevated bond yields.
1. Homebuilders lead gains
The pan-European STOXX 600 was up 0.48% at 641.73 points by 0829 GMT on Monday, with most major regional markets also higher. Shares of Persimmon, Barratt Redrow, Taylor Wimpey and Vistry rose between 13.5% and 15% after the government said it would confirm a new equity loan programme for first-time buyers in next month’s budget.
2. Oil and metals pressure
Brent crude rose 3% after U.S. President Donald Trump rejected an Iranian proposal to reopen the Strait of Hormuz and end the conflict. European energy shares gained 0.6%, while miners fell 1.7% as precious metals declined; Germany’s 10-year bond yield was 3.6303%, its highest level since June 2009.
3. Company moves
Danieli fell 12% after missing annual earnings estimates. Trevi rose 3.6% to a six-month high after ICOP raised its all-share takeover bid.
