LONDON, July 23 — European stocks rose today at the end of a volatile week for markets, helped by the eurozone’s economic recovery and ECB assurances over its support package.
Asian equity markets closed out Friday with losses as the Delta variant continued to cast a shadow across trading floors.
Wall Street’s three main indices closed near new record highs Thursday, fuelled by better-than-expected corporate reports and seemingly unbreakable optimism about the long-term economic outlook.
“It’s been quite the tumultuous week,” noted Russ Mould, investment director at AJ Bell.
“Investors who panicked when global markets took a dive on Monday may now be regretting their decisions to dump holdings.”
Mould added that attention would turn to next week’s Federal Reserve policy meeting, as traders seek clues on the timing of rises to interest rates with global inflation soaring.
The European Central Bank yesterday said that while the eurozone was bouncing back strongly, it would maintain its ultra-loose monetary policies until at least the end of March 2022, or until officials consider “that the coronavirus crisis phase is over”.
Business activity in the eurozone shot ahead at its fastest rate in 21 years in July, a closely watched survey said Friday, as the economy went into full throttle with loosened Covid-19 restrictions.
But the survey also showed that the spread of the coronavirus’ Delta variant was beginning to chip away at business confidence, with concern that new measures could again sow chaos in the economy.
The PMI composite index from economic data group IHS Markit said activity rose from 59.5 in June to a strong 60.6 in July, well above the 50-point level that indicates growth.
Key figures around 1100 GMT
London — FTSE 100: UP 0.8 per cent at 7,026.98 points
Frankfurt — DAX 30: UP 1.0 per cent at 15,661.77
Paris — CAC 40: UP 1.0 per cent at 6,548.65
EURO STOXX 50: UP 1.0 per cent at 4,101.36
Hong Kong — Hang Seng Index: DOWN 1.5 per cent at 27,321.98 (close)
Shanghai — Composite: DOWN 0.7 per cent at 3,550.40 (close)
Tokyo — Nikkei 225: Closed for a holiday
New York — Dow: UP 0.1 per cent at 34,823.35 (close)
Euro/dollar: DOWN at US$1.1765 from US$1.1772 at 2020 GMT
Euro/pound: UP at 85.66 pence from 85.49 pence
Pound/dollar: DOWN at US$1.3734 from US$1.3766
Dollar/yen: UP at 110.46 yen from 110.18 yen
Brent North Sea crude: DOWN 0.4 per cent at US$73.52 per barrel
West Texas Intermediate: DOWN 0.3 per cent at US$71.69 per barrel — AFP
