European Shares Inch Higher Amid Earnings Focus

European shares rose slightly on Tuesday, sustaining momentum from the previous session. Investors remain focused on corporate earnings and U.S.-China trade tensions. The STOXX 600 index saw minor gains, with Assa Abloy and Edenred leading the charge after surpassing earnings expectations. U.S.-China trade discussions continue to unfold.

On Tuesday, European shares managed a modest rise, carrying on from a 1% increase in earlier trading sessions. The market's movement was primarily driven by investor attention to corporate earnings and ongoing trade tensions between the U.S. and China.

The STOXX 600 index saw a slight bump, moving up by 0.1% to 572.56 points in early trading as of 0711 GMT. Notably, European banks experienced a rise of 0.5%, while the aerospace and defense sector gained 0.4%.

Meanwhile, healthcare and technology sectors took a minor hit, each dipping by 0.2%. Assa Abloy, recognized as the world's largest lockmaker, saw its shares climb by 3.4% after posting better-than-expected third-quarter profits. Additionally, HSBC saw a 1.7% rise in shares with the appointment of former NatWest executive David Lindberg as CEO of its UK operations. French company Edenred experienced a significant surge of 10.9%, buoyed by surpassing sales expectations in the third quarter. As Washington and Beijing continue to negotiate trade issues, U.S. Treasury Secretary Scott Bessent is slated to meet with China's Vice Premier He Lifeng, seeking to prevent further tariff increases on Chinese imports.

(With inputs from agencies.)