Europe Markets: Anglo American and Antofagasta shares rally after upgrades

Posted By: EN Todayon: December 01, 2023In: General Energy News, Oil & Gas News

Anglo American and Antofagasta were rallying Friday in a European stock market playing catch-up to Wall Street, as the two miners were upgraded to buy at UBS.

Anglo American shares
AAL,
+7.12%
surged 7% as UBS lifted its rating to buy from neutral while keeping its price target unchanged. “We believe the risk/ reward is now attractive with Anglo to benefit from improving copper prices in 2024/25, resilient iron ore & met-coal prices, as well as recovering PGM & rough diamond prices,” said analysts led by Myles Allsop.

Antofagasta shares
ANTO,
+5.08%
rose 5%, as UBS also lifted the miner to buy from neutral. Following a challenging two to three years, a combination of organic volume growth and unit cost improvement will drive superior earnings growth to most of its peers, said the note from analysts led by Daniel Major. Antofagasta’s price target was lifted to £17 per share from £16.

The major European stock indexes advanced after the 520-point surge in the Dow Jones Industrial Average
DJIA,
with the German DAX
DX:DAX,
French CAC 40
FR:PX1
and U.K. FTSE 100
UK:UKX
all registering gains between 0.6% and 0.9%.

U.S. stock futures were steady ahead of remarks from Fed Chair Jerome Powell and key manufacturing data.