European Stocks Climb Most in Two Weeks on U.S. Jobs Data Beat

European shares rose the most in two weeks after U.S. jobs data beat forecasts in June, adding to positive signs from France, Germany and China that the virus is under control.

The Stoxx Europe 600 Index was up 2% at the close, for a fourth daily gain and longest winning streak since late May. All industry groups rose, and banks and carmakers led the pack, up 3.4% or more each.

The region’s equities outperformed American stocks throughout June, as several U.S. states’ efforts to contain the coronavirus pandemic faced setbacks. Progress in employment figures on Thursday was partially offset by data on layoffs.

European Stocks Climb Most in Two Weeks on U.S. Jobs Data Beat

“Today’s number certainly adds to the growing evidence of a strengthening economy in early June,” said Seema Shah, chief strategist at Principal Global Investors. “The market response is likely to be positive, but inevitably tinged with growing concerns that the recovery is already losing steam.”

Banks rallied 4.3% on Thursday, their biggest gain in almost a month, led by Spanish and French lenders.

Among individual companies, Associated British Foods Plc rose after releasing a third-quarter trading update that Jefferies called “very reassuring.”

©2020 Bloomberg L.P.

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