European stocks open higher supported by major bank earnings

European stocks opened higher today, Monday, as traders awaited the results of the operations of several large banks, while the shares of the Portuguese company GALP jumped to the highest level in 16 years following a positive result of gas exploration in Namibia.

By 0716 GMT, the European STOXX 600 index rose 0.5%, driven by banks’ gains of 0.5%.

According to Reuters, European bank profits will be in the spotlight this week as traders search for a clearer picture of whether high interest rates are still boosting profits or whether the rise in stock prices over the course of the year will begin to lose momentum.

BNP Paribas, Deutsche Bank, Barclays and Lloyds will all announce their earnings later this week.

Among the stocks that achieved strong gains, Galb Energia’s stock jumped 17% after the Portuguese company said that the Mopan field off the coast of Namibia may contain at least ten billion barrels of oil.

Alstom shares gained 4.9% after the French train manufacturer agreed to sell its North American conventional railway signaling business unit to German railway systems manufacturer Knorr-Bremse for about 630 million euros ($671 million).