European Stocks Rise Amid Trade Court Ruling and Nvidia Boost

European equities saw slight gains following a U.S. court ruling against Trump's tariffs, which elevated market sentiment. Nvidia's earnings also generated positive momentum, contributing to the STOXX 600 index's modest rise.

Date: 29-05-2025

AI Rating: 7

Impact of U.S. Court Ruling on Tariffs
The U.S. federal court's decision to quash the across-the-board tariffs imposed by President Trump highlights a significant shift in trade policy that could positively affect import-reliant sectors. Analysts suggest that removing these tariffs may lead to improved profit margins for companies that import goods, thereby allowing for potential revenue increases.
Nvidia's Earnings Performance
Nvidia's earnings beat indicates strong demand and robust growth in the semiconductor industry, particularly in AI-related sectors. An increase in net income and possibly improved earnings per share (EPS) could positively influence investor sentiment for technology stocks within the S&P 500. Companies like ASML and Schneider Electric, which have seen a rise in stock price due to AI exposure, may experience sustained momentum.
Sector Performance
Luxury brands such as LVMH and Kering saw stock price increases ranging from 1-2%, which may reflect positive consumer sentiment despite the broader market uncertainties. The growth plan unveiled by Braemar and its associated share buyback could suggest a shift in strategy, but this led to a nearly 8% drop in stock price, indicating a challenging market response. Overall, the sentiment across the European markets remains cautiously optimistic, with various sectors responding to specific drivers from recent news.

Stocks: NVDA ASML LVMH KRN BURBY