BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - French stocks rose modestly on Thursday, with a strong rally in oil prices, positive results from remdesivir drug trial and the Fed's assurances on helping the economy helping underpin investor sentiment ahead of European Central Bank meeting later today.
Investors shrugged off data showing that the French economy saw its sharpest economic contraction since World War II in the first quarter due to the containment measures taken to curb the spread of coronavirus.
GDP fell 5.8 percent sequentially in the first quarter, the biggest decline since the series began in 1949, according to preliminary data from the statistical office Insee. Economists had forecast a 3.5 percent fall.
The benchmark CAC 40 was up 13 points, or 0.29 percent, at 4,684 after gaining 2.2 percent the previous day.
Safran shares jumped more than 4 percent. Chief Executive Philippe Petitcolin told reporters the aerospace supplier remained on 'solid' foundations with 3.2 billion euros of cash and cash equivalents on March 31.
Plane maker Airbus soared 5 percent on reports that it was in talks with the French state regarding possible aid.
Utility Suez gained 2 percent. Declines in volumes have largely stopped by end of April and governments appear determined to drive the progressive exit from containment from May onward, the company said.
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