European stocks closed higher, supported by gains in the banking sector, by Reuters

© Archyde.com. Screens display data from the German DAX index at the Frankfurt Stock Exchange on Wednesday. Photo by Archyde.com.

(Archyde.com) – European stocks closed higher on Wednesday, supported by gains in the banking sector, including Swiss bank UBS, which rose following the appointment of a new CEO. Improve the mood of investors.

The index closed 1.3 percent higher.

UBS shares rose 3.7 percent following appointing Sergio Ermotti as its chief executive to manage the takeover of smaller rival Credit Suisse.

Credit Suisse jumped 4.0 percent, while the financial services index and the banking sector index rose between 1.8 percent and 1.9 percent.

The STOXX 600 index headed for monthly losses, with bank stocks expected to decline by regarding 15 percent following the collapse of the US Silicon Valley and Signature banks and the acquisition of Credit Suisse, which raised concerns regarding the strength of the banking sector.

Germany’s Infineon rose 6.9 percent following the chip maker raised its forecasts for the second quarter of the fiscal year and the whole of 2023.

The broader technology sector index rose 2.7 percent, while Mercedes-Benz fell 2.1 percent following news that Kuwait’s sovereign wealth fund planned to reduce its stake in the German luxury automaker by selling 20 million shares.

Shares of the British fashion company “Next” fell 4.3 percent, as the company maintained its cautious outlook and stated that it expects to increase spending on wages, energy and technology to reduce its profits this year.

(Prepared by Mohamed Attia for the Arabic Bulletin – Edited by Ali Khafaji)