Travel stocks lead Europe higher as U.S. futures drift ahead of tech earnings wave - MarketWatch

Travel stocks lead Europe higher as U.S. futures drift ahead of tech earnings wave - MarketWatch

Travel stocks led the way higher for European stocks on Monday after a key official said transatlantic travel may soon resume.

Coming off a 0.8% drop last week — the biggest decline since the period ending Feb. 26 — the Stoxx Europe 600 SXXP, +0.26% edged up 0.2%.

Gainers included aircraft engine maker Rolls-Royce RR, +5.96%, which rose 4%, and airlines Deutsche Lufthansa LHA, +3.88% and International Airlines Group IAG, +4.20%. European Commission President Ursula von der Leyen said fully vaccinated Americans should be able to travel to Europe over the summer.

U.S. stock futures ES00, +0.14% NQ00, +0.31% were a touch lower, ahead of a big week for tech earnings and a Fed decision. President Joe Biden’s proposed infrastructure spending package faces resistance in the Senate as Sen. Joe Manchin, a key Democrat, said he only supports passing a bill with Republican support.

The stock market was unbothered by a weaker-than-forecast 0.2-point rise in the Ifo business climate index for Germany.

Also on the move, U.K. engineering group IMI IMI, +11.10% rallied 7% after lifting its earnings guidance and launching a stock buyback program.

Philips PHIA, -3.55% fell 3% as the company booked a €250 million charge for a quality issue used in some of its sleep products alongside an increased sales growth target.

Food-and-drink ingredients supplier Tate & Lyle TATE, +5.92% jumped 6% as it said it is in the process of selling a controlling stake in its primary products businesses. That followed a report in the Sunday Telegraph which said it’s begun a £1.2 billion auction for the division, which makes artificial sweeteners.