European Stocks Head for Higher Open

European equities advanced on Wednesday, buoyed by easing concerns over potential disruptions from AI and cautious optimism ahead of further clarity on US trade policy. The Euro Stoxx 50 climbed 0.7% to a record high of 6,160, while the broader STOXX Europe 600 gained 0.4%, surpassing the 630 mark for the first time. Investor focus now shifts to earnings from Nvidia, due later in the day, which are expected to provide fresh insight into the strength and sustainability of AI-driven demand. In Europe, shares of HSBC Holdings surged more than 5% after the bank reported stronger-than-expected results for 2025. On the macroeconomic side, German consumer confidence unexpectedly weakened heading into March, while sentiment in France improved in February, offering a mixed picture of household confidence across the region.

European equity markets were poised for a firmer open on Wednesday, tracking gains in global markets as concerns over potential AI disruptions eased. Attention now turns to earnings from Nvidia later in the day for clearer signals on the durability of AI-related demand. Investors also monitored US trade developments after Trump criticized the Supreme Court’s tariff ruling during his State of the Union address. In Europe, market participants will evaluate German and French consumer confidence data, Germany’s final GDP reading, and final Eurozone inflation figures. On the corporate front, HSBC reported stronger-than-expected 2025 earnings, supported by growth in its wealth management division and its core Hong Kong franchise. Investors are also awaiting results from Iberdrola, E.ON, and Diageo, among others. In premarket trade, Euro Stoxx 50 and Stoxx 600 futures were both up more than 0.1%.

European stock indices inched higher on Tuesday, trimming the losses from the previous session as markets reassessed concerns that advances in AI technology will displace traditional sectors of the economy. The Eurozone's STOXX 50 inched rose 0.1% to 6,122 and the pan-European STOXX 600 added 0.3% to 630, not far from the record high touched last week. Companies with exposure to AI infrastructure booked gains ahead of Nvidia's earnings in the US and the deal between Meta and AMD, with ASML and Infineon adding 1.1% and 1.8%, respectively. Meanwhile, autos rebounded after the US placed 10% tariffs on all goods coming from Europe, below yesterday's threat of 15% levies, after its Supreme Court struck down earlier barriers. BMW, Volkswagen, and Mercedes-Benz gained more than 1%. Still, software and payment focused SAP and Adyen extended their slumps from yesterday. Also, banks closed sharply lower with Santander dropping 2.5%, while Intesa Sanpaolo and Deutsche Bank fell 1.7%.