Doha: European stocks rose on Tuesday, supported by strong gains in wind-energy stocks after the share of Orsted jumped following a US court ruling in its favor over a stalled project. The pan-European STOXX 600 index rose 0.3 percent to 555.1 points, while Spain's and Britain's stock indices each gained about 0.3 percent. Orsted's share leapt 9.4 percent after a US federal judge issued a ruling that allows the Danish offshore wind developer to resume work on its near-completed project off the coast of Rhode Island. Its rival Vestas recorded gains of nearly 3 percent, meanwhile broader utility sector stocks advanced 1 percent. Meanwhile, ASMI shares fell 5.6 percent after the Dutch chip manufacturing equipment company lowered its second-half 2025 revenue targets, while Dutch ASML shares fell 1.3 percent.
According to Qatar News Agency, the movement in the utilities sector was the primary driver behind the positive performance of European stocks. The significant appreciation in Orsted's stock price was a direct result of the favorable judicial decision, which was a crucial development for the company due to the project's importance. The ruling provided a much-needed boost to investor confidence in Orsted's operations.
The broader utility sector, benefiting from this positive sentiment, also saw a 1 percent increase. Vestas, another major player in the wind-energy sector, rode the wave of optimism, achieving nearly a 3 percent rise in its share price. This collective upswing in the sector helped offset losses in other areas of the market.
Conversely, the technology sector faced challenges, with ASMI experiencing a significant 5.6 percent drop in its share value. The decline came after the company announced a reduction in its revenue targets for the second half of 2025. Similarly, ASML, another Dutch company specializing in chip manufacturing equipment, saw its shares decrease by 1.3 percent amid the broader sector's struggles.