European stocks rose on Tuesday, supported by a decline in oil prices, which strengthened investors' appetite for risk, while technology stocks came under pressure due to fears of intensifying Chinese competition, after reports that Changxin Memory Technologies had made progress in developing memory chips.
The European STOXX 600 index rose by 0.44 percent to 638.44 points by 07:14 GMT, while the British Financial Times 100 index rose by about 1 percent, recording the strongest performance among the major European indices, according to Reuters.
The decline in oil prices came at a time when traders evaluated supply risks, in addition to the possibility of additional quantities of Russian diesel flowing into the markets.
At the sector level, the chemicals sector topped the gains, rising by 2 percent, while the technology sector fell by 1.5 percent, affected by a global wave of selling in the sector’s shares. This came after reports of the progress made by the Chinese company Changxin Memory Technologies raised fears of a shrinking technological gap between China and its well-established competitors in the market.
Analysts at OCBC Bank said in a note that technology stocks led the declines, especially shares of memory chip companies, after the Chinese company announced progress in designing higher-density DRAM chips, in addition to its plans to launch a new server memory product by the end of the year. They added that these developments raised fears of escalating competition for well-established companies in the memory chip industry.
In individual stock movements, the shares of the luxury goods group LVMH rose slightly, despite announcing sales in the third quarter that fell below expectations, as the decline in consumer confidence in China cast a shadow on demand for the group’s “Louis Vuitton” and “Dior” brands.
On the other hand, Nokia shares fell by 4.4 percent, after the Finnish communications equipment company agreed to sell its business unit for communications terminal solutions for enterprise networks to the Aurelius Direct Investment Group.
Later today, investors are awaiting the release of key economic data for September from Germany, the largest economy in Europe.
The Saudi market opened trading on Tuesday with a slight increase, as the main market index “TASI” rose by 0.07 percent to 10,291 points, compared to the previous close at 10,283.96 points.
Saudi Aramco shares rose 0.16 percent to 25.80 riyals, after the company’s CEO, Amin Nasser, said during the World Petroleum Conference in Riyadh yesterday that the company is studying additional paths to export crude oil and is working to expand its storage capacity abroad.
Jarir shares also rose by 4.12 percent to 16.68 riyals, after the company announced that its net profits increased by 15 percent to 374 million riyals during the third quarter of 2026, compared to the same period of the previous year.
“National Steel” shares topped the gains, rising by 7.88 percent to 3.15 riyals, followed by “SASCO” shares by 4.22 percent to 40 riyals, then “Arab Sea” by 3.43 percent to 4.22 riyals, and “Riyadh Cables” by 3.15 percent to 108 riyals.
Grocery price inflation in Britain accelerated to 2.5 percent in the four weeks ending October 4, compared to 2.3 percent in last month's report, according to data from market research company World Panel by Numerator, released Tuesday, increasing pressure on families already facing rising fuel and energy bills.
The largest increases were recorded in the prices of products such as water, concentrated drinks, juices, and skin care products, while the prices of butter, cheese, and chocolate fell at the largest pace, according to Reuters.
World Panel data provides the latest picture of consumer behavior in the United Kingdom, and also provides an early indication of food price pressures during October. Official British inflation data for September are scheduled to be published on October 21.
Food price inflation in Britain did not reach the levels that were expected earlier in the year, in light of intense competition between supermarkets, consumer resistance to further price increases, and improved hedging practices against price fluctuations in the sector.
On the other hand, groups working in the sector expect food price inflation in Britain to approach 7 percent in 2027, driven by unrest in the Middle East, high input costs, and extreme weather events associated with the “El Niño” phenomenon.
The data showed that British grocery store sales increased by 1 percent on an annual basis during the four weeks ending on October 4, which indicates a decline in sales in terms of quantities after accounting for the impact of inflation.
During the 12 weeks ending on October 4, sales of Tesco, the largest supermarket chain in the sector, rose by 1 percent year-on-year, but its market share fell slightly for the fifth consecutive month of reports.
As for Marks & Spencer, which is not fully included in the World Panel data, it remained the fastest growing food retailer in Britain, with its food sales rising by 14.9 percent.
In a separate context, survey data published on Tuesday showed that British consumers continued to control their overall spending during September, but it negatively affected clothing sales.
