European stocks rise, lifted by oil firms and Burberry – MarketWatch

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European stocks broadly rose on Wednesday, lifted by a rally in oil stocks and with Burberry driving luxury goods stocks higher after a well-received trading update.

The Stoxx Europe 600 index SXXP, +0.60%  rose 0.6% to 381.38, rebounding from a 0.7% loss on Tuesday.

In focus on Wednesday, U.S. Federal Reserve Chairwoman Janet Yellenwill give a testimony before Congress at 3 p.m. London time, or 10 a.m. Eastern Time.

Over the next two days, the market will be looking for answers with regards to whether there will be more Fed interest-rate hikes and when the balance-sheet reduction for the central bank will begin, said James Hughes, chief market analyst at GKFX, in a note.

“I expect that the Fed Chair will keep her hawkish tone on monetary policy and continue to push the balance sheet reduction move, but hints of a timeline are what we want to hear,” he added.

Stock movers: In Europe, shares of Burberry Group PLC BRBY, +2.59% BURBY, -2.59%  climbed 3.2% after the luxury retailer reported higher first-quarter comparable sales and underlying revenue.

Other luxury goods companies were also higher, with shares of LVMH Moët Hennessy Louis Vuitton SE MC, +0.28%  up 0.6%, Gucci-owner Kering SA KER, +1.23%  

DNB ASA DNB, +3.31%  put on 4.8% after the Norwegian bank posted second-quarter earnings that easily beat forecasts.

Oil companies were also up, rising alongside higher oil prices CLQ7, +1.64%  after the American Petroleum Institute on Tuesday reported a much larger-than-expected drop of 8.1 million barrels in U.S. crude supplies. Shares of BP PLC BP., +1.86% BP, +0.09%  rose 1.4%, Repsol REP, +1.15%  added 1.2% and Eni SpA ENI, +1.54%  picked up 1.2%.

On a downbeat note, shares of Amec Foster Wheeler PLC AMFW, -7.80%  after the U.K. Serious Fraud Office said it opened an investigation into the project management and services firm.

Pearson PLC PSON, -4.81%  slid 5%. Shares fell 5.1% Tuesday after the education and publishing company said it would£ sell its 22% stake in Penguin Random House for $1 billion to German media company Bertelsmann SE, its joint-venture partner.

Indexes: The U.K.’s FTSE 100 index UKX, +0.77%  jumped 0.6% to 7,383.47.

Germany’s DAX 30 index DAX, +0.46%  rose 0.4% to 12,485.62, while France’s CAC 40 PX1, +0.75%  climbed 0.6% to 5,172.26.

The euro EURUSD, -0.1395%  was down at $1.1452 compared with $1.1468 on Tuesday. The shared currency rose against the dollar on Tuesday after Donald Trump Jr. released a series of email exchanges about a June 2016 meeting to discuss potential incriminating information against Hillary Clinton.

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