Europe open: Stocks push higher as investors sift through earnings

European stocks rose in early trade, boosted by a late recovery on Wall Street and steadying oil prices.

At 0900 GMT, the benchmark Stoxx Europe 600 index and France’s CAC 40 were both up 0.8%, while Germany’s DAX was 0.9% firmer.

Oil prices were in the black but well off the highs reached on Wednesday on the back of dollar weakness and growing hopes that an emergency meeting will lead to a production cut deal between OPEC and non-OPEC countries.

West Texas Intermediate was up 0.5% at $32.45 a barrel and Brent crude was 0.3% higher at $35.14.

In corporate news, EasyJet flew higher after the budget airline said passenger numbers rose 6.3% in January compared with the same month in 2015 to 4.28m.

Oil major Shell posted strong gains despite reporting an 80% drop in full year profit amid plunging oil prices.

Vodafone shares edged higher after it posted an improvement in third quarter revenue growth.

On the downside, Credit Suisse was sharply lower after announcing its first annual loss since 2008.

Daimler was also under pressure after the car maker said it expects growth to slow down this year and forecast only moderate gains in revenue and earnings.

Pharmaceuticals giant AstraZeneca was under the cosh after it cautioned that earnings per share and revenue for the year will drop.

Investors were also digesting comments from European Central Bank chief Mario Draghi, who said acting too late on low inflation was more risky than acting too early.

Speaking at a conference at the Bundesbank, Draghi said: “Adopting a wait-and-see attitude and extending the policy horizon brings with it risks: namely a lasting de-anchoring of expectations leading to persistently weaker inflation."

“Draghi put on his best Braveheart impression as he said that he would not surrender to low inflation without stating what or when new measures would be put in place. That’s the big piece of news that the global markets want to hear, and it would also have helped out Mark Carney who is due to give press conference with the BoE rate announcement later today,” said James Hughes, chief market analyst at GKFX.

“Speculation will grow on a move to take more rates negative by the ECB, and expectations are growing that we could well see more movement at the March meeting.”

The Bank of England rate announcement and Inflation Report are due at 1200 GMT. In the US, non-farm productivity is at 1330 GMT, along with initial jobless claims, while industrial new orders are at 1500 GMT.