Global Market: European shares rise as ASML rally lifts tech stocks; investors eye US CPI

European shares edged higher on Wednesday, supported by strong results and an upbeat sales outlook from ASML, which lifted technology stocks, while rising oil prices and geopolitical tensions limited gains, Reuters reported.

The pan-European STOXX 600 index rose 0.32% to 636.99 points by 0713 GMT, recovering from modest losses in the previous session after retreating from a one-week high on Tuesday.

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Technology stocks led sectoral gains, advancing 0.8%, as ASML climbed 1.8%. The world's largest supplier of chipmaking equipment said demand for its chip-printing tools, driven by the artificial intelligence boom, was so strong that it would be unable to fully meet customer demand in 2027 or 2028, Reuters reported.

ASML said it was exploring ways to expand production capacity as it raised its full-year sales outlook, reinforcing optimism about sustained investment in AI infrastructure and semiconductor manufacturing.

However, gains in European equities were tempered by concerns over geopolitical risks and energy prices. Oil prices rose after two vessels were struck in the Strait of Hormuz, a critical route for global oil shipments, weighing on investor risk appetite.

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Among individual stocks, Orsted fell 4.2% after Bloomberg News reported that the United States would re-evaluate the permit for the Danish energy company's wind farm project off Rhode Island. The development added to uncertainty surrounding the offshore wind sector.

Investors were also awaiting US consumer price index data due later on Wednesday for fresh clues on the Federal Reserve's monetary policy outlook.

The inflation report could influence expectations for the timing and pace of future interest-rate moves, shaping sentiment across global equity markets.

According to Reuters, strong technology-sector momentum, rising energy prices, and expectations around US inflation data kept investors focused on corporate earnings, geopolitical developments, and the interest-rate outlook.

(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)