European stocks bounce back as ASML outlook lifts tech sector

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FILE PHOTO: The German share price index (DAX) board is seen at the end of a trading day at the German stock exchange (Deutsche Boerse) in Frankfurt, Germany, February 12, 2019. REUTERS/Kai Pfaffenbach/File Photo

(Reuters) – European stocks rebounded on Wednesday after their worst selloff this year as optimism about a strong earnings season countered worries about a rapid rise in COVID-19 cases in some countries.

Tech stocks were the top gainers, up almost 2%, with semiconductor equipment maker ASML jumping 5.4% after it raised its full-year sales forecast, citing strong demand amid a global computer chip shortage.

Smaller rival ASM International rose 4.2% on forecasting a rise in second-quarter orders.

The world’s second-largest brewer Heineken NV gained 4.2% after it reported a better than expected quarterly sales.

Italian football club Juventus slumped 10% after the breakaway European Super League was rocked by the departure of its six English clubs.

The pan-European STOXX 600 index rose 0.6% in early trading after a blistering seven-week rally ran into profit-taking on Tuesday.

The German DAX rose 0.2%, while France’s CAC 40 was up 0.5% and UK’s FTSE added 0.4%.

Reporting by Sruthi Shankar in Bengaluru; Editing by Shounak Dasgupta

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