By Steve Goldstein
It's not just U.S. automakers such as Tesla and Ford that are rallying at the beginning of the new year.
Renault shares rallied 4% as Daimler and Stellantis each added 3% on Wednesday.
JPMorgan reiterated overweights on all three, noting the restructuring at Stellantis and Renault and the launch of mid to premium models at Daimler. Stellantis and Amazon(AMZN) also agreed a deal where Amazon will provide it cloud solutions and buy electric Ram vans.
Tire maker Pirelli jumped 4% as JPMorgan upgraded it to overweight on strong business momentum, and car parts maker ElringKlinger rallied 19% as the broker said it has strongly positioned itself in battery electric drive and fuel cell technology.
The Stoxx Europe 600 automobiles and parts index has already jumped 8% to start the new year -- the strongest of any sector -- with investors excited about electric vehicle potential.
The broader Stoxx Europe 600 limped 0.1% higher. The German DAX and French CAC 40 each rose 0.7% while the FTSE 100 added 0.2%.
(END) Dow Jones Newswires
January 05, 2022 08:57 ET (13:57 GMT)
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