Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


While you were sleeping: European stocks advance

While you were sleeping: European stocks advance

Feb 18 (BusinessDesk) – European stocks climbed as Chinese credit data provided reason for optimism about the outlook for the world’s second-largest economy.

Commodities including silver and copper also gained, as the US dollar weakened amid expectations the Federal Reserve won’t need to raise interest rates any time soon with data that have recently surprised more on the downside, than the upside.

China’s new credit climbed to a record in January, with aggregate financing rising to 2.58 trillion yuan (US$425 billion) last month, according to the People’s Bank of China.

“The better-than-expected credit data out of China gives the markets some support,” Benno Galliker, a trader at Luzerner Kantonalbank in Lucerne, Switzerland, told Bloomberg News. “There are fears that the measures taken by China are hitting the breaks too hard and that the economy won’t grow as fast anymore. Today’s numbers speak a different language.”

In Europe, the Stoxx 600 Index finished the session with a 0.4 percent gain from the previous close. France’s CAC 40 slipped 0.1 percent, while Germany’s DAX inched lower as well.

The UK’s FTSE 100 climbed 1.1 percent amid further signs the country’s economic recovery is gathering steam. Shares of Hammerson rose, closing 3.1 percent higher, after the company posted earnings that pleased investors and bolstered confidence about the outlook for UK corporate profits.

"When you look at property, it's always a great barometer for confidence," Mike McCudden, head of derivatives at Interactive Investor, told Reuters. “When you see the likes of [Hammerson] coming out with good numbers it perks up the whole market.”

Copper rose, advancing 0.6 percent on the London Metal Exchange, as did silver and gold.

Some believe gold will likely continue its recent climb, beginning its recovery from last year’s slump and rising to the highest level in three months today.

“It is the insurance product against further emerging market turmoil, more bad US data, potentially too frothy equity markets and unforeseen market shocks,” UBS analysts wrote in a report, according to Bloomberg News. “With positioning so light and the sentiment turn in gold’s favour so recent, we expect that gold will remain bid.”

US markets were closed on Monday for the Presidents’ Day holiday.

On Wednesday, minutes of the January FOMC meeting will be released, and investors will comb them for further clues about outlook for the Fed’s plans to taper its bond-buying program, now at US$65 million a month.

Later today the Bank of Japan will conclude a regularly scheduled two-day policy meeting. The focus will be on Governor Haruhiko Kuroda’s comments on the outlook for the nation’s economy.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Net Annual Migration Passes 71,000

A record 71,300 more migrants arrived in New Zealand than left in the January 2017 year, Statistics New Zealand said today. This surpassed the previous annual record set in December 2016. More>>

ALSO:

Fossils: Ancient Penguins Lived Alongside Dinosaurs?

Penguins are much older than previously thought and their evolution probably dates back to the days of the dinosaurs, according to research on the fossilised leg bone and toes of a giant ancient penguin found in rocks near Waipara, North Canterbury. More>>

No Voda/Sky: Commission Declines Clearance For Merger

The Commerce Commission has declined to grant clearance for the proposed merger of Sky Network Television and Vodafone New Zealand. More>>

ALSO:

EARLIER:

Power: IEA Report On New Zealand's Energy System

Outside of its largely low-carbon power sector, managing the economy’s energy intensity and greenhouse gas emissions while still remaining competitive and growing remains a challenge. More>>

ALSO:

NASA: Seven Earth-Size Planets Around A Single Star

NASA's Spitzer Space Telescope has revealed the first known system of seven Earth-size planets around a single star. Three of these planets are firmly located in the habitable zone, the area around the parent star where a rocky planet is most likely to have liquid water. More>>

ALSO:

Auckland Transport Case: Men Guilty Of Corruption And Bribery Will Spend Time In Jail

Two men who were found guilty of corruption and bribery in a Serious Fraud Office (SFO) trial have been sentenced in the Auckland High Court today... The pair are guilty of corruption and bribery offences relating to more than $1 million of bribes which took place between 2005 and 2013 at Rodney District Council and Auckland Transport. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news