European shares open 1% higher on ASML, earnings boost

(Reuters) – European shares climbed nearly 1% on Wednesday, driven by a raft of corporate updates, while heavyweight ASML (AS:) led overall gains on report that the Dutch chip equipment manufacturer was exempt from a fresh U.S. rule on foreign chip equipment exports.

The pan-European index was up 0.9%, as of 0715 GMT, and scaled a two-week high.

Shares of ASML surged 8% after Reuters reported that a new U.S. rule on foreign chip equipment exports to China will exempt some allies. The regional tech sector jumped 3.3%.

Airbus gained 5.2% after the world’s largest planemaker unveiled its second-quarter results.

Jet engine and equipment maker Safran (EPA:) climbed 1.1% after it reaffirmed its financial targets following a higher first-half profit.

Both stocks boosted the aerospace sector, which traded 1.7% higher.

Among other notable stocks, HSBC Holdings (NYSE:) advanced nearly 3% as the bank pledged to buy back $3 billion in shares after it reported a stable first-half profit.

Schneider Electric (EPA:) SE gained 3.4% after the French electric equipment and automation systems maker reported its first-half results.

Wolters Kluwer dropped 6% after the Dutch information services company reported its first-half results.

British drugmaker GSK dropped 1% after it raised its annual earnings and sales forecasts.