London — European stocks rose on Thursday following extraordinary gains in Asia and the US, as exuberance shot through markets and reversed initial dives in reaction to Donald Trump’s US presidential victory. Investors focused on Trump’s priorities — including tax cuts and higher infrastructure and defence spending, along with bank deregulation — and set aside for the moment longer-term worries about whether he will slap punitive tariffs on Chinese and Mexican exports, risking a global trade war. European stocks hit a two-week high, with the pan-European Stoxx 600 index up 1.3% in early dealings, and "safe-haven" government bonds sold off after Trump suggested he would spend billions on infrastructure. This marked an abrupt change from the sharp recoil on markets on Wednesday after the Republican candidate’s triumph. Investors saw signs that Trump will ditch the budget austerity policies that Western governments have pursued since the 2008 global financial crisis after he takes over...
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