Markets subdued as earnings and oil prices weigh

European ‌shares were subdued on Wednesday after several disappointing earnings reports, coupled with higher oil prices, exacerbated investor unease ahead of a rate decision from the European Central Bank (ECB).

Dublin

Bank of Ireland enjoyed a near 4 per cent bounce in its share value after it upgraded key financial targets for the year on the back of positive lending and deposits data. In trading update, chief executive Myles O’Grady said the further “positive commercial performance” had led the bank to upgrade its net interest income guidance.

Rival AIB was also up as were financials across Europe, closing the session 1.6 per cent ahead. PTSB traded broadly flat after the bank criticised an approach to buy it from Axis Capital in a High Court hearing to approve the proposed €1.6 billion acquisition of the bank by Austrian banking group Bawag.

Elsewhere Ryanair shares were down over 2 per cent as elevated oil prices and geopolitical uncertainty continue to weigh on the outlook for the sector.

London

UK shares closed subdued, as ‌gains in banks after a lower-than-feared levy in finance minister John Healey’s first budget were countered by declines in Unilever and GSK after their results failed to ​impress investors.

The blue-chip FTSE 100 index ended 0.1 per cent higher, while the midcap FTSE 250 reversed course to close 0.3 per cent lower. It had touched a near two-month high earlier in the session.

Banks provided the biggest boosts to the index, up 1.1 per cent. Shares of Lloyds Banking Group, NatWest and Barclays rose between 1 per cent and ​2 per cent after Healey announced a lower than feared temporary increase in the bank profit surcharge to 6 per cent.

UK betting firms also ​rose after Healey announced a smaller-than-expected gambling tax increase. Entain ​rose 3.6 per cent and Evoke rose 3.7 per cent after machine games duty was raised to 25 per cent from 20 per cent.

Among notable earnings, GSK dropped 4.8 per cent as ​its pipeline push and growth plans via a £1.9 billion cost-saving programme failed to convince ​investors.

Unilever fell 2.1 per cent after reporting softer results in its foods business, dragging the personal care, drug and grocery sector down nearly 1.4 per cent.

Europe

The pan-European Stoxx 600 index rose 0.07 per cent to 644.14 points with the media and mining indices among the biggest laggards.

Thyssenkrupp was the ⁠biggest individual loser on the Stoxx 600 with ​a 17 per cent decline, after a muted market debut for ​its materials trading division.

Dutch payments platform Adyen was the second biggest loser, down over 13 per cent after it lowered its core ‌earnings margin target for 2026.

Among financial stocks, Deutsche Bank gained about 4 per cent ⁠after reporting a surprise ​jump in third-quarter profit.

On the other hand, Spain’s Santander fell 5.6 per cent after third-quarter results as weaker earnings in Brazil weighed, leading the bank-heavy Spanish benchmark down 1.5 per cent, the most among peers.

UBS dipped 0.6 per cent after posting a third-quarter net profit roughly in line with expectations. However, analysts remained constructive on the sector.

Among other earnings, Stellantis added over 15 per cent after posting a slight increase in ​operating income in the third quarter, leading gains on the automobile index, which rose ​1.3 per cent.

New York

US stocks were choppy as weakness in megacaps such as Tesla and Apple offset chipmaker gains sparked by SK Hynix’s bumper results.

Memory chipmaker Micron Technology jumped 4.8 per cent to its highest in over two weeks after South Korean rival SK Hynix reported a more than sevenfold jump in quarterly profit. SK Hynix’s US-listed shares gained 12.2 per cent.

Limiting gains in main benchmarks, most ​megacap and growth stocks traded lower. Tesla dipped 1.3 per cent after surging more than 9 per cent in the last two sessions. Apple eased 0.5 per cent, while SpaceX dropped 2.4 per cent.

The focus now shifts to quarterly ​results from hyperscalers Microsoft and Alphabet, due after markets close on Wednesday, with both companies expected to report accelerating cloud growth. – Additional reporting by Reuters