European stock indexes rallied at the open on Thursday as markets interpreted the U.S. Federal Reserve’s taper decision as confidence in the underlying strength in the economy. The Federal Open Market Committee reduced the central bank’s monthly bond buying to $75 billion from $85 billion, but stressed its commitment to keeping interest rates low.
The Stoxx Europe 600 index jumped 1.2% to 317.70, on track for its highest close since early December. The U.K.’s FTSE 100 index gained 0.9%, France’s CAC 40 index put on 1.1% and Germany’s DAX 30 index added 1%.
In UK national statistics informed on Thursday that year-over-year UK Retail Sales grew 2% in November, compared with the 1.8% increase in October and below forecasts of +2.3%. On a monthly basis UK Retail Sales rose 0.3% in October, after falling 0.9% in September, as expected.
Annual Retail Sales excluding Fuel increased 2.3%, following a +2.3% rise and below market consensus of 2.5% growth. Month-over-month Retail Sales excluding Fuel edged up 0.4%, following a 0.7% decrease and slightly exceeding expectations of +0.3%.
Shares of AstraZeneca PLC put on 2.5% on news the drug maker will buy Bristol-Myers Squibb Co.’s diabetes business.
Algeta ASA advanced 1.5% after Bayer AG agreed to buy the Norwegian drugmaker for 362 kroner a share, or 17.6 billion kroner ($2.9 billion). The German company made a preliminary offer of 336 kroner apiece in November. Bayer increased 1.1%.
Banks were also on the rise, with shares of Barclays PLC rising 2.5% in London and Commerzbank AG up 2.4% in Frankfurt.
Saab AB surged 21% after Brazil’s Defense Ministry agreed to buy 36 Gripen NG fighter jets for $4.5 billion. The Swedish company beat Boeing Co. to supply the airplanes through 2023.
Mediaset SpA jumped 7.6%, the biggest gain on the Stoxx 600, after Deutsche Bank AG said that the Italian broadcaster’s plan to spin off its pay-TV business could increase the company’s profitability.
Комментариев нет:
Отправить комментарий