Europe markets open: FTSE up 0.9% as SoftBank sells its $5.8B Nvidia stake
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European stocks opened higher on Tuesday, extending the positive momentum from the start of the week as the end of the record-long US government shutdown appeared to be in sight.
The pan-European Stoxx 600 index was up 0.5% shortly after the opening bell, with most major bourses in positive territory.
The UK’s FTSE 100 led the gains with a 0.9% rise, while Germany’s DAX climbed 0.1%.
US shutdown breakthrough lifts global sentiment
The primary driver of the upbeat mood was a political breakthrough in Washington.
On Monday night, the US Senate passed a bill to fund the federal government and end the longest shutdown in the country’s history.
The bill, which passed with bipartisan support, now heads to the House of Representatives for a final vote before it can be signed into law by President Donald Trump.
The news provided a positive backdrop for global markets, which had also been boosted by a rally in US tech stocks on Monday amid renewed optimism in the artificial intelligence sector.
SoftBank sells entire $5.83 billion stake in Nvidia
In major corporate news, Japanese investment giant SoftBank announced on Tuesday that it has sold its entire stake in chipmaker Nvidia for $5.83 billion.
The company confirmed in its earnings statement that it sold 32.1 million shares of Nvidia in October.
The move is part of a broader effort by SoftBank to monetize its holdings and shore up its balance sheet. The company also revealed it had sold off part of its stake in T-Mobile for $9.17 billion.
The divestments come as SoftBank’s Vision Fund posted a massive $19 billion gain in its latest quarter, largely driven by the soaring value of its investment in ChatGPT-maker OpenAI.
The Nvidia sale marks a final exit from a position that SoftBank CEO Masayoshi Son had previously expressed regret over selling too early.
The firm’s original 4.9% stake, acquired in 2017, would have been worth approximately $160 billion today.
Earnings season continues in Europe
Investors are also monitoring a fresh batch of corporate earnings in Europe.
Reports are due on Tuesday from a range of major companies, including SoftBank, Vodafone, and Munich Re, which will provide further insight into the health of the European corporate sector.
The post Europe markets open: FTSE up 0.9% as SoftBank sells its $5.8B Nvidia stake appeared first on Invezz
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Europe markets open: FTSE up 0.9% as SoftBank sells its $5.8B Nvidia stake
Share:
European stocks opened higher on Tuesday, extending the positive momentum from the start of the week as the end of the record-long US government shutdown appeared to be in sight.
The pan-European Stoxx 600 index was up 0.5% shortly after the opening bell, with most major bourses in positive territory.
The UK’s FTSE 100 led the gains with a 0.9% rise, while Germany’s DAX climbed 0.1%.
US shutdown breakthrough lifts global sentiment
The primary driver of the upbeat mood was a political breakthrough in Washington.
On Monday night, the US Senate passed a bill to fund the federal government and end the longest shutdown in the country’s history.
The bill, which passed with bipartisan support, now heads to the House of Representatives for a final vote before it can be signed into law by President Donald Trump.
The news provided a positive backdrop for global markets, which had also been boosted by a rally in US tech stocks on Monday amid renewed optimism in the artificial intelligence sector.
SoftBank sells entire $5.83 billion stake in Nvidia
In major corporate news, Japanese investment giant SoftBank announced on Tuesday that it has sold its entire stake in chipmaker Nvidia for $5.83 billion.
The company confirmed in its earnings statement that it sold 32.1 million shares of Nvidia in October.
The move is part of a broader effort by SoftBank to monetize its holdings and shore up its balance sheet. The company also revealed it had sold off part of its stake in T-Mobile for $9.17 billion.
The divestments come as SoftBank’s Vision Fund posted a massive $19 billion gain in its latest quarter, largely driven by the soaring value of its investment in ChatGPT-maker OpenAI.
The Nvidia sale marks a final exit from a position that SoftBank CEO Masayoshi Son had previously expressed regret over selling too early.
The firm’s original 4.9% stake, acquired in 2017, would have been worth approximately $160 billion today.
Earnings season continues in Europe
Investors are also monitoring a fresh batch of corporate earnings in Europe.
Reports are due on Tuesday from a range of major companies, including SoftBank, Vodafone, and Munich Re, which will provide further insight into the health of the European corporate sector.
The post Europe markets open: FTSE up 0.9% as SoftBank sells its $5.8B Nvidia stake appeared first on Invezz
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In This News
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Healthcare stocks dubbed ‘the ultimate hedge’ against AI correction