Europe midday: Stoxx sets new record as earnings drive sentiment

(Sharecast News) - European markets hit fresh records again on Wednesday led by upbeat results from drinks giant Heineken, while traders also had an eye on US inflation data later in the day. The pan-regional Stoxx 600 was up 0.08% in at 547.66 in early deals, having hit 548.54. Major stockmarkets on the Continent were also in bullish mood, with Germany's DAX and Britain's FTSE 100 setting new records.

US headline inflation is forecast to show month on month growth of 0.3% and 2.9% on an annualised basis and core CPI - which strips out volatile items such as energy and food - anticipated to dip to 3.1%.

"There's an overarching sense of calm in the air, perhaps a little unnerving given the storm of political drama we've become accustomed too since (US President Donald) Trump took office," said Hargreaves Lansdown analyst Matt Britzman.

"US inflation data has scope to upset the apple card later today, but for now at least, it's robust company earnings that are driving markets forward."

In equity news, Heineken shares surged after the brewer reported better-than-expected operating profits and unveiled a £1.5bn share buyback program along with a higher dividend. The news lifted rivals AB InBev and Carlsberg.

French luxury goods firm Kering was up by over 5% by mid-morning, as UBS raised its target price on the stock after the company on Tuesday reported better-than-expected fourth-quarter sales.

Norwegian financial services company Storebrand slumped after fourth-quarter earnings missed estimates.

ABN Amro jumped after the bank's fourth-quarter results beat expectations.

Reporting by Frank Prenesti for Sharecast.com