European shares pushed higher in mid-morning trade on Tuesday as new data for Germany beat expectations and buoyed investor sentiment.
ZEW beats forecasts
The pan-Europeanrose, with investors cheering new economic data from Germany. The keenly watched German ZEW indicator of economic sentiment came in at 11.5 points for November, versus -3.6 in October.
Tuesday’s data was viewed as promising, given recent signs the German economy was slowing. Thetraded over 1 percent higher after the news.
“Stabilizing surveys in Germany are good news,” Evelyn Herrmann, the European economist at BNP Paribas said in a note after the news.
“We think that the stabilization of the DAX compared to mid-October levels combined with the confirmation that German growth did not fall off a cliff in (the third quarter) contributed to the improvement in sentiment.”
U.K. inflation for October was also out on Tuesday morning. Consumer prices grew by 1.3 percent year-on-year, up from September’s five-year low of 1.2 percent, according to official data.
In Asia, Japan’sindex recouped more than half of Monday’s steep losses buoyed by expectations that Prime Minister Shinzo Abe will announce a delay in a planned sales tax hike following Monday’s grim third quarter GDP data. on the whole were mixed Tuesday afternoon, with Sydney and mainland indices underperforming on the back of a steeper-than-expected fall in China’s new home prices.