Europe midday: Johnson Matthey shares surge as US fund takes stake

European markets were still higher at midday on Friday as another raft of strong corporate earnings drove sentiment and shares in UK chemicals company Johnson Matthey soared on news the investment arm of US-based Standard Industries had taken a 5% stake in the firm.

The pan-European Stoxx 600 index was up 0.6%, off gains of 1% earlier in the session, with all major bourses following suit. US stock futures pointed to a mixed open on Friday in early pre-market trade, with Nasdaq futures pulling back after Amazon’s and Apple’s quarterly results disappointed.

On the data front, the French economy stagnated in the first quarter of the year as weak domestic demand continued despite an easing of Covid-19 restrictions.

The euro zone’s second-largest economy was unchanged following growth of 0.8% in the final quarter of 2021, with economists expecting a quarterly rise.

In equity news, shares in Johnson Matthey were up as much as 35% at one point after the investment arm of New York-based industrial firm Standard Industries, led by David Millstone and David Winter, took a 5.23% stake. The shares were 17.5% higher at time of writing.

Dutch investment group Prosus, which owns a 29% stake in Tencent, tracked the Chinese tech giant’s rise on Friday after China said it would implement measures to aid the development of its platform economy.

German consumer goods group Henkel slid more than 6% after cutting its 2022 profit forecast on the back of rising material costs as a result of the Russia-Ukraine war.

Dutch food and biochemicals group Corbion fell after releasing quarterly results.