(ABM FN-Dow Jones) European stocks rose on Thursday after the Federal Reserve’s interest rate decision and in the run-up to the European Central Bank’s decision.
The broad-based Stoxx Europe 600 index was up 1.3 percent at 477.00 points around noon. The German DAX index rose 1.7 percent to 15,735.40 points. The French CAC 40 index recorded a gain of 1.2 percent with a position of 7012.93 points. Britain’s FTSE index rose 1.0 percent to 7,242.42 points on Thursday.
“With the Fed not being more aggressive, investors breathed a sigh of relief and prices rose, at least for now,” concluded Sam Stovall, investment strategist at CFRA Research.
Starting next month, the asset purchase program will be reduced by $30 billion per month, with the program ending completely by March 2022. In addition, Fed officials unanimously expect three rate increases next year.
During the morning, the Norges Bank appeared to have raised interest rates, while the Swiss Bank left its key rate unchanged.
The Bank of England will make its interest rate decision today, and the European Central Bank will follow.
The French businessman was less optimistic in December than he was a month ago with an index against which showed confidence at 110, losing 3 index points.
In Japan, preliminary purchasing data showed that the country’s economy has lost some growth momentum. This also applies to the economies of a number of European countries, until it seems that the German economy has come to a complete standstill. The country’s composite PMI came in at 50.0 in Markit’s preliminary reading.
This afternoon will follow the weekly US aid requests, estimated at 195,000 versus 184,000 the previous week, as well as November housing and building permits, the Philadelphia Fed Activity Index for December, industrial production for November and the preliminary PMI for December.
Oil was higher on Thursday. January futures in West Texas Intermediate traded 1.2 percent in . At $71.75, Brent futures for February were paid out at $74.75, also up 1.2 percent.
EUR/USD is trading at 1.1296. At the beginning of the trading day, the currency pair moved at 1.1294 and when the US stock exchanges closed on Wednesday, there was already a position of 1.1294 on the plates.
In Paris and Frankfurt, the prices of the main shares were significantly higher, with the prices of the four shares in Paris and 23 shares falling with an increase of more than 1 percent and in Frankfurt up to thirty with a temporary daily return of more than one percent.
Tech stocks in particular took a hit at their back on Thursday. This was particularly evident in Amsterdam, where the leading indicator is increasingly becoming a technical indicator. Shares of Besi, Just Eat Takeaway and Prosus were in the top spots.
Futures Wall Street
US stocks are expected to open higher on Thursday. S&P 500 futures fell 0.6 percent.
The leading S&P 500 index increased 1.6 percent to 4,709.85 points on Wednesday, the Dow Jones rose 1.1 percent at 3,597.56 points and the Nasdaq closed 2.2 percent higher at 15,565.58 points.
Pron: ABM Financial News
From Beursplein 5, Editors ABM Financial News Keep a close eye on developments on the stock exchanges, and the Amsterdam Stock Exchange in particular. The information in this column is not intended as professional investment advice or as a recommendation to make certain investments.
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