EUROPE MARKETS: European Stocks Climb For First Day In Three As Ryanair, Ericsson Advance

By Carla Mozee, MarketWatch

German business confidence slips less than expected

Stocks across Europe rose on Monday, with a mix of earnings reports and deal-related news prompting investors to push the market toward its first gain in three sessions.

The Stoxx Europe 600 rose 0.7% to 342.85, with only the oil and gas sector showing a loss, according to FactSet.

The index on Friday shed less than 0.1% (http://www.marketwatch.com/story/european-stocks-slip-as-earnings-reports-roll-in-2016-07-22) but closed with a second straight weekly gain, registering a rise of 0.7%.

Morgan Stanley on Monday said that this week will be the busiest of the European second-quarter earnings season, with results due from 205 companies.

After having already tracked reports from 130 companies, "we've seen 35% of companies beat consensus estimates by 5% or more, with 28% missing, giving a net beat of 8% of companies. This is fractionally more positive than we saw in 1Q results, where we saw a net beat of 6% of companies," wrote analyst Matthew Garman in a note.

Read:Wall Street braces for feeding frenzy of earnings, central bank action (http://www.marketwatch.com/story/wall-street-braces-for-feeding-frenzy-of-earnings-central-bank-action-2016-07-23)

Advancers: Irish air carrier Ryanair Holdings PLC (RYAAY)(RYAAY)was among Monday's best share-price performers as shares soared 5.6%. The company backed its earnings target for the year (http://www.marketwatch.com/story/ryanair-profit-up-4-sticks-with-forecasts-2016-07-25) after a 4% rise in first-quarter profit.

Still, Ryanair said there are downside risks to watch during the rest of the year, including the impact of the U.K.'s Brexit vote (https://brexit.efinancialnews.com/ryanair-to-pivot-away-from-uk-in-face-of-brexit-uncertainty-edc4b173b595#.91fk8emw0) which put the country on course to leave the European Union.

Meanwhile, British gaming company William Hill shares (WMH.LN) climbed 6.8% as a consortium made up of gaming companies 888 Holdings PLC (888.LN) and Rank Group PLC (RNK.LN)said they're considering a potential takeover offer (http://www.marketwatch.com/story/888-rank-group-may-make-an-offer-for-william-hill-2016-07-25) for the bookmaker.

Ericsson (ERIC) (ERIC) shares gained 3.7% as Swedish the telecom-equipment maker said Hans Vestberg is stepping down as chief executive (http://www.marketwatch.com/story/ericsson-chief-departs-after-profit-plunge-2016-07-25-24854236), effectively immediately. This month, Ericsson posted a 24% drop in second-quarter profit and announced further cost-cutting measures.

Other movers: On the downside, shares of Italy's Banca Monte dei Paschi di Siena SpA (BMPS.MI) fell 7.8% even as Italy's finance minister said this week that investors are considering a rescue of Italy's beleaguered banks (http://www.marketwatch.com/story/italian-investors-mulling-a-rescue-of-nations-struggling-banks-2016-07-25).

Shares of LVMH Moët Hennessy Louis Vuitton SE (LVMUY) rose 1.1% as the luxury fashion house said it plans to sell Donna Karan International Inc (http://www.marketwatch.com/story/g-iii-to-buy-donna-karan-international-from-lvmh-for-650-million-2016-07-25). to G-III Apparel Group Ltd. (GIII) in a $650 million deal.

Indexes: Germany's DAX 30 rose 1% to 10,249.36 and France's CAC 40 picked up 0.8% to 4,415.10. The U.K's FTSE 100 rose 0.2% to 6,743.14.

Italy's FTSE MIB was up 0.2% at 16,817.22 and Spain's IBEX 35 tacked on 0.4% at 8,632.30.

The euro was buying $1.0985 compared with $1.0976 on Friday.

Data: The closely watched Ifo business sentiment survey in Germany showed a decline in the index in July, but by less than anticipated (http://www.marketwatch.com/story/german-ifo-business-sentiment-declines-in-july-2016-07-25). The Ifo business climate index fell to 108.3 from 108.7 in June. Economists polled by The Wall Street Journal had expected a reading of 107.5. It was the first Ifo reading since the U.K.'s Brexit vote.

(END) Dow Jones Newswires

July 25, 2016 06:20 ET (10:20 GMT)

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