European Stocks Rise on Positive Earnings and U.S. Data

European equity markets mostly rose on Tuesday, August 4, 2026, driven by positive corporate earnings and upbeat U.S. manufacturing data. The pan-European STOXX 600 index climbed 0.4 percent to 654.75. Gains were seen in the German DAX, which rose 0.4 percent, and the U.K. FTSE 100, which increased 0.2 percent, while France's CAC 40 experienced a marginal decline.

Corporate performance varied across sectors. Travis Perkins plc shares surged nearly 16 percent following strong interim results, and BP Plc saw a 1.4 percent increase after reporting a significant rise in second-quarter profit. Similarly, FC Bayern Munich shares rallied 3.5 percent after posting an unexpected increase in second-quarter profit.

Conversely, several companies faced steep declines due to lowered forecasts. Zalando shares fell 16 percent after the retailer revised its 2026 revenue and growth outlook downward. Lufthansa shares plummeted 10 percent following warnings of lower operating profit linked to macroeconomic and geopolitical uncertainty. Additionally, Smith & Nephew shares dropped 6.7 percent after the company cut its revenue growth forecast for the U.S. market.