European shares hit record high as energy stocks surge; tech, financials stumble

Published Thu, Feb 12, 2026 · 05:51 AM

EUROPEAN shares closed at a record high on Wednesday, as gains in commodity-related stocks offset weakness in technology and financials, while investors assessed a strong US jobs report.

The pan-European Stoxx 600 index finished 0.1 per cent higher at 621.58 points, having also marked an intra-day record.

The benchmark has hovered around its all-time highs in recent sessions as investors rotate toward sectors perceived as less vulnerable to AI disruption with concerns mounting over the technology’s adverse impact on certain industries.

Energy stocks led gains, surging 3.8 per cent to the highest since 2008.

Shares of TotalEnergies rose 2.7 per cent to levels not seen since 2024 after the French oil giant reaffirmed its commitment to expanding oil and gas reserves, even though it said it would halve first-quarter share buybacks.

A more than 2 per cent gain in crude prices provided additional tailwinds.

Metal miners rose 3 per cent, tracking strength in metals prices. Markets parsed data showing the US economy created far more jobs than expected in January, pointing to labor market stability that could allow the Federal Reserve to hold interest rates for an extended period.

“The bottom line is more jobs mean a stronger US economy, and that’s good for global stocks in general – that’s what we saw Europe reacting to,” said Steve Sosnick, chief market analyst at Interactive Brokers.

Technology and media stocks lagged, however, falling 1.8 per cent and 2.6 per cent, respectively. Dassault Systemes’ shares slid 20.8 per cent, their biggest daily drop on record, after the software maker posted fourth-quarter revenue growth that disappointed investors and 2026 revenue guidance that fell short of expectations.

The French company was among those hit as AI disruption fears rippled through global markets last week, since spreading to insurers, asset managers and index providers on both sides of the Atlantic following the debut of several new AI tools.

Insurance stocks slipped 1 per cent and are the biggest week-to-date losers on the Stoxx index on a weekly basis with a 2.7 per cent drop. Brokerage Barclays downgraded the sector to ‘Underweight’.

“There are valid concerns about how AI might disrupt some of these businesses, and the problem is nobody wants to be holding stocks in companies that might be among the disrupted,” Interactive Brokers’ Sosnick said.

Investors instead preferred hardware makers such as Siemens Energy, which climbed 8.4 per cent to a record high, after the AI equipment maker said net profit nearly tripled in the first three months of its fiscal year.

Heineken added 4.4 per cent after saying it would cut up to 6,000 jobs from its global workforce. Commerzbank fell 2 per cent after the lender’s in-line annual guidance failed to impress investors. REUTERS