Irish stocks shine as UK PM May wins Brexit reassurances from EU

Irish shares outperformed the rest of the eurozone on Tuesday after European Commission President Jean-Claude Juncker and UK Prime Minister Theresa May agreed to a new Brexit withdrawal deal to cope with misgivings about the controversial Irish backstop.

Dublin's ISEQ climbed 0.8 per cent, set for its biggest gain since March 1 and outdoing a 0.1 per cent rise in the STOXX 600. The DAX rose 0.3 per cent by 0825 GMT. Britain's FTSE 100 fell 0.7 per cent as a surge in sterling weighed on the multinational exporters that dominate the index.

With earnings season nearing an end, results were down to just a trickle. French engineering firm Spie led gains, jumping 6.2 per cent after reporting stronger-than-expected net income.

German carmaker Volkswagen fell 0.2 per cent after reporting a decline in operating margins for its core VW brand and announcing it would introduce almost 70 new electric models by 2028. British defence company G4S fell 2.6 per cent after its results, which traders said showed full-year revenues were weaker than expected.

Adyen dropped 4.8 per cent after pre-IPO investors sold 2.5 million shares at a 9 per cent discount. Shares in Swiss toilet and plumbing supplies maker Geberit fell 1.7 per cent after the company said it saw a challenging 2019 because of Brexit and political uncertainty in Italy.

Construction materials group Saint-Gobain got a boost from Barclays upgrading it to "overweight". Among small-caps, German steel trader Kloeckner & Co climbed 7.1 per cent after saying it expects higher sales and core earnings this year. But shares in Italian luxury goods company Tod's fell 7 per cent after it reported a 26 per cent decline in profit as marketing costs rose. Brexit hopes boosted British housebuilder and bank shares, with Lloyds, RBS and Persimmon among the top European gainers.