Europe open: Stoxx gets lift from US market records

(Sharecast News) - European shares opened higher on Friday, driven by record highs by US indices overnight. The pan-regional Stoxx 600 index was up 0.28% at 548 in early deals with all major bourses higher.

US shares were boosted by positive corporate earnings, with the S&P 500 closing at an all-time high, while the Nasdaq Composite also hitting a record closing level.

Sentiment was also boosted by a jump in US retail sales in June to 0.6% compared with expectations of a 0.1% increase.

"The broad-based rebound showed little evidence that tariffs are damaging the average American's spending power. That may soften the case for rate cuts by the Fed," said Hargreaves Lansdown analyst Derren Nathan.

But that's not outshining signs of economic strength and robust corporate health, with US stock futures pointing to further gains at the open."

In equity news, shares in Swedish defense giant Saab took off as it reported stronger-than-expected second operating income of 1.98 billion Swedish krona ($200 million) this morning.

BP said on Friday that it has agreed to sell its US onshore wind business, BP Wind Energy, to LS Power, a development, investment and operating company focused on the North American power and energy infrastructure sector.

Reporting by Frank Prenesti for Sharecast.com