LONDON Feb 5 European shares edged higher on
Tuesday, stabilising after the previous session's sharp
sell-off, as investors digested a raft of earnings reports, with
ARM leading gainers after its fourth-quarter results.
British chip designer ARM rose 3.9 percent to the top of the
FTSEurofirst 300 gainers as it reported a better-than-expected
rise in pretax profit in the fourth quarter, boosted by rising
sales of smartphones and tablets using the firm's technology.
The FTSEurofirst 300 was 0.2 percent higher at
1,153.66 by 0808 GMT, having dropped 1.5 percent on Monday as
mounting political uncertainty in major euro debtor countries
prompted investors to lock in profits on indexes trading close
to multi-year highs.
Fund managers said any stock market weakness should be
considered to be a pause, rather than the start of a more
"Bit of nerves creeping back in after the massive rally of
stock markets over the past couple of months," said Lex van Dam,
hedge fund manager at Hampstead Capital, which manages around
$500 million of assets.
"This, together with some profit-taking, makes the market
look weaker than it is. For now the FTSEurofirst 300 is still
trading around two-year highs and the bull case remains intact."