European Stocks Surge Amid Tech and Healthcare Boost

European stocks reached a new high Wednesday, powered by technology and healthcare sectors. Markets dismissed tariff threats from U.S. President Trump. Key gains came from Novo Nordisk and Adidas, while uncertainties about U.S. tariffs loom. ECB hints at interest rate cuts, while investors turn from the U.S. tech market.

European stocks soared to unprecedented levels on Wednesday, driven by substantial gains in technology and healthcare equities. Despite looming tariff fears following threats from U.S. President Donald Trump, the market remained resilient.

The pan-European STOXX 600 index climbed 0.6% by 1010 GMT, surpassing the previous record set on September 27, 2024. Healthcare giants spearheaded this growth, with Novo Nordisk witnessing a 2.3% rise. Similarly, Adidas shares surged by 6.3% due to unexpectedly strong fourth-quarter results.

Investors worldwide exhibited optimism as Trump's new policy announcements and robust corporate earnings from companies like Netflix lifted market sentiment. However, concerns lingered over Trump's proposed 10% tariff on Chinese goods effective February 1. Meanwhile, the European Central Bank signaled further interest rate cuts, cementing a gradual strategy for economic growth.

(With inputs from agencies.)