Puig plunges after Estée Lauder tie-up talks terminated; European stocks rise

Shares listed in Europe moved higher on Friday, with the U.S.-Iran war and economic data in focus.

The pan-European Stoxx 600 finished the day 0.8% higher, with all major bourses and most regional sectors closing in the green.

Europe’s Friday rally saw regional stocks notch their fourth consecutive day of gains.

Shares in Puig tumbled after discussions between the Spanish beauty conglomerate and U.S. cosmetics giant Estée Lauder over a potential business combination ended.

Puig closed 13.4% lower. In contrast, Estée Lauder shares surged 10.7% in New York shortly after 11:47 a.m. E.T.

U.K. data showed that retail sales fell 1.3% in April from the previous month, after rising 0.6% in March. Fuel sales fell more than 10%, officials said, with some retailers reporting that motorists were conserving fuel amid price volatility because of the war in the Middle East.

Oil prices surged on Thursday after Tehran reportedly said it would insist on keeping enriched uranium in Iran, renewing concerns about a prolonged conflict that would disrupt the oil market for longer than expected.

Oil extended its rally into Friday, with global benchmark Brent crude last seen 1.2% higher at $103.77 a barrel.

Investors also monitored a raft of European economic data released on Friday. The GfK German Consumer Confidence report for June showed a slight improvement in consumer sentiment in Europe’s largest economy. The indicator rose from -33.1 to -29.8, driven primarily by growing income expectations.

Meanwhile, France’s manufacturing climate index rose to 102 in May, up from 100 in April, its highest reading in four months.

A separate print from the U.K. showed its government borrowed a higher-than-expected £24.3 billion ($32.6 billion) in April. It exceeded official forecasts by £3.4 billion. The budget deficit – borrowing to fund day-to-day public sector activities – hit £17.4 billion last month, exceeding forecasts by £2.6 billion.

The yield on 10-year Gilts — the benchmark for British government debt — was more than 6 basis points lower at 4.907%. The pound was last seen broadly flat against the dollar, at $1.3425.

On Wall Street, U.S. stock futures edged higher early Friday, with S&P 500 futures rallying 0.17%, as futures tied to the Dow Jones Industrial Average notched a 0.55% gain. Nasdaq futures were last seen up almost 0.1%.