European shares hits record high
The pan-European STOXX 600 index closed 0.1% higher at 621.58 points, having also marked an intra-day record
European shares closed at a record high on Wednesday, as gains in commodity-related stocks offset weakness in technology and financials.
The pan-European STOXX 600 index closed 0.1% higher at 621.58 points, having also marked an intra-day record.
The benchmark has hovered around its all-time highs in recent sessions as investors rotate toward sectors perceived as less vulnerable to AI disruption with concerns mounting over the technology’s adverse impact on certain industries.
Energy stocks led gains, surging 3.8% to the highest since 2008. Shares of TotalEnergies gained 2.7% to levels not seen since 2024 after the French oil giant reaffirmed its commitment to expanding oil and gas reserves, even though it said it would halve first-quarter share buybacks.
A more than 2% gain in crude prices provided additional tailwinds.
Metal miners added 3%, tracking strength in metals prices.
Technology and media stocks lagged, however, dropping 1.8% and 2.6%, respectively.
Dassault Systemes’ shares slipped 20.8%, their biggest daily decline on record, after the software maker posted fourth-quarter revenue growth that disappointed investors and 2026 revenue guidance that fell short of expectations.
The French company was among those hit as AI disruption fears impacted world markets last week, since spreading to insurers, asset managers and index providers following the debut of several new AI tools.
Insurance stocks slid 1% and are the biggest week-to-date losers on the STOXX index on a weekly basis with a 2.7% decline. Brokerage Barclays downgraded the sector to ‘Underweight’.
There are valid concerns about how AI might disrupt some of these businesses, and the problem is nobody wants to be holding stocks in companies that might be among the disrupted, Interactive Brokers’ Sosnick said.
Investors instead preferred hardware makers such as Siemens Energy, which jumped 8.4% to a record high, after the AI equipment maker said net profit nearly tripled in the first three months of its fiscal year.