Home https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Business https://server7.kproxy.com/servlet/redirect.srv/sruj/smyrwpoii/p2/ Europe leads stock market recovery on stronger business growth By Reuters

Europe leads stock market recovery on stronger business growth By Reuters



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© Reuters. FILE PHOTO: A man walks past a listing board at a brokerage firm in Tokyo, Japan February 26, 2021. REUTERS / Kim Kyung-Hoon

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By Tom Arnold and Wayne Cole

LONDON / SYDNEY (Reuters) – Global equities rose on Wednesday as U.S. stock futures continued after a retreat in tech-loving markets, while European markets were encouraged by faster business activity and positive earnings.

The Euro STOXX index added 1

.3%, heading for its best day in almost two months, helped by data showing the eurozone’s business activity faster last month, while the service industry returned to growth.

Among the best artists were Germany’s Rational and Merck after well-received numbers.

The MSCI world capital index, which tracks stocks in 49 countries, traded 0.1% higher after a sell-off on Tuesday from near record highs.

However, it was not all rosy. MSCI’s broadest index of Asia-Pacific equities outside Japan fell 0.4% for the fourth consecutive day of losses, although Asian trading was thin due to holidays in Japan, China and South Korea.

India’s Nifty 50 was 0.8% higher, heading for its best day in a week as the central bank rolled out a series of measures to support the coronavirus-ravaged economy, including giving certain small borrowers more time to repay loans.

Nasdaq futures rose 0.4% after a sharp overnight decline, while also adding 0.3%.

Nasdaq had fallen 1.9% on Tuesday as some big tech names ran into profits, including Microsoft Corp. (NASDAQ :), Alphabet (NASDAQ 🙂 Inc, Apple Inc (NASDAQ 🙂 and Amazon.com Inc (NASDAQ :). ()

Tight valuations were tested when US Treasury Secretary Janet Yellen said interest rate hikes may be needed to stop the economy from overheating.

Later, she backed the comments, but it reminded investors that interest rates should rise at some point in the future.

“Some of her comments were apparently misinterpreted by the markets when she suggested the Fed should have to wander,” said James Athey, chief investment officer at Aberdeen Standard Investments.

“This market is really as feverish and fragile as it is.”

The next hub for markets awaits Friday, when U.S. wage data is expected to show a sharp rise of 978,000, while some estimates go as high as 2.1 million.

So far, Federal Reserve Chairman Jerome Powell has argued that the labor market is still far from where it should be to start talking about tapered asset purchases.

Minneapolis Fed Bank President Neel Kashkari, a notable pigeon, said Tuesday that it could take a few years for the economy to return to full employment.

The Fed’s dogged patience allowed interest rates on US 10-year banknotes to ease back to 1.59%, from last week’s high of 1.69%, although the market has struggled to break below 1.53%.

In Europe, Germany’s 10-year return, the benchmark for the region, rose by 1 basis point to -0.23%, although it was below its highest level since March 2020.

Just the mention of higher US interest rates was enough to help the dollar recover from some of the recent losses.

The euro fell back to $ 1.1999, threatening to break significant chart support in the $ 1.1995 / 1.2000 range. A break opens the way for a $ 1.1923 retracement target.

The dollar held at 109.45 yen, after being away from resistance at 109.61. Against a basket of currencies, the dollar touched a nearly two-week high of 91,448.

New Zealand dollar fell higher to $ 0.7173 as local job data turned out to be stronger than expected.

In commodity markets, palladium rose 0.7% to $ 3,004, close to the record-high hit Tuesday on concerns over inadequate supply of the metal used for emission control devices in cars. [GOL/]

Gold was left at $ 1,777 an ounce.

Oil prices rose to two-week highs as more countries opened their borders to travelers, improving the outlook for gas and aviation fuel demand. [O/R]

added 1.2% to $ 69.69 per share. barrel, near the highest since mid-March, while it rose 1.1% to $ 66.43 per barrel. barrel, having previously risen to its highest level since March 8.




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