Europe midday: Stoxx breaches 600; InPost soars on mystery bid approach

(Sharecast News) - European shares continued their rally on Tuesday with the benchmark Stoxx 600 breaching the 600 point mark and setting another intra-day high.

The index touched 604.12 in early deals before settling back to 602.74 at 1158 GMT, a gain of 0.17%. Britain's FTSE 100 also hit a new intra-day high of 10,070 points.

Traders are still assessing the impact of the ousting of Venezuelan President Nicolas Maduro, who was snatched by US troops on the weekend in what has been seen by many as an attempt by the world's greatest superpower to take control of the Latin American nation's massive oil reserves.

US stocks rose on Monday, with the Dow Jones Industrial Average jumping to a new record high, as America's weekend assault on Venezuela sparked big gains in the defence and energy sectors.

"Global equities are starting the day on the front foot, with markets largely brushing aside the uncertainty stirred up by US moves in Venezuela. European and UK indexes are trading higher, and US futures are pointing to a positive open, hinting at a broadly upbeat mood to kick off the day," said Matt Britzman, senior equity analyst at Hargreaves Lansdown.

"Oil eased back this morning with Brent around $61.60 a barrel, giving up a bit of Monday's surprise jump as traders weighed what US pressure on Venezuela really means for supply."

"With the country pumping less than 1% of the world's oil after years of underinvestment, any major near-term disruption looks more bark than bite. Adding to the softer tone, Saudi Arabia cut prices to Asia again, and OPEC+ stuck to its cautious stance, keeping supply steady in a market that already feels well stocked."

In equity news, InPost surged after the Polish parcel locker company said it had received an indicative takeover proposal from a mystery bidder.

Ocado shares jumped after JPMorgan placed the online grocery retail and warehouse tech developer on 'positive catalyst watch' as it pointed to improving fundamentals.

Adidas and JD Sports tumbled after Bank of America downgraded its stance on the sportswear retailers, saying it expects a "material stepdown" in the sector's growth.

Reporting by Frank Prenesti for Sharecast.com