European Shares Rise 1.8% on SAP Earnings, Trump's Fed Comments

European shares climbed on Wednesday, led by a strong earnings report from SAP, which posted a significant year-on-year profit increase and exceeded expectations, driving its shares up nearly 10%. The positive momentum was reinforced by U.S. President Donald Trump’s softened stance on both Federal Reserve Chair Jerome Powell—affirming he has no plans to remove him—and on China tariffs, easing investor fears over Fed independence and U.S.-China trade tensions. The pan-European STOXX 600 index rose around 1.8%, with regional gains across Germany, France, Spain, and the UK. The European technology sector outperformed, buoyed by SAP's results, while other notable corporate moves included a drop in Volvo shares following disappointing earnings and a boost for BP after an activist investor increased its stake. Analysts praised SAP’s resilience and cost discipline, suggesting the company is well-positioned to weather further economic uncertainty. Flash PMI data from France indicated ongoing challenges in the services sector, but overall market sentiment remained upbeat amid the global rebound.