Europe open: Shares up as investors assess Nvidia results

(Sharecast News) - European shares were higher at the open on Thursday as traders assessed the impact of chip maker Nvidia's results overnight. The pan-regional Stoxx 600 index was up 0.28% to 556 at 0818 BST. France's CAC 40 was up 0.68% despite political volatility around the government's budget plans.

Nvidia, which supplies chips to the world's tech giants, saw its shares fall despite a consensus-beating revenue in the second quarter, as investors fretted about sales in China.

"Shares have held onto overnight losses, despite an upbeat earnings call, as the absence of China sales in guidance surprised investors," said Hargreaves Lansdown analyst Matt Britzman.

"Remarkably, revenue still surged at an unprecedented pace without contributions from one of its key markets, while management struck a confident tone on demand for AI chips and the scaling of Blackwell and Blackwell Ultra."

In equity news, Pernod Ricard shares rose despite the drinks giant reporting a 3% fall in annual sales on the back of weak consumer sentiment in China and tariff uncertainty in the US.

Shares in UK biomass energy supplier Drax slumped on news of a regulatory probe into raw material sourcing.

Reporting by Frank Prenesti for Sharecast.com