London
9 °C
Manchester
8 °C
Glasgow
4 °C
Dublin
11 °C
Belfast
Washington
Denver
Atlanta
Dallas
Houston Texas
New Orleans
El Paso
Phoenix
Los Angeles
11 °C
-29 °C
-5 °C
16 °C
26 °C
Stock markets jump as inflation worries ease / Photo: - - AFP/File
NYSE - LSE
Stock markets jump as inflation worries ease
Stock markets jumped Thursday after below-forecast US inflation data provided a much-needed shot of relief to investors and revived hopes of further cuts to interest rates.
European and Asian indices gained after a Wall Street rally on Wednesday following also strong earnings from US banks.
The Paris stock market surged more than two percent in midday deals Thursday on big gains for the luxury sector after Cartier owner Richemont reported record quarterly sales.
London rose even as data showed the UK economy expanded at a slower pace than expected in November.
"It is a sea of green in the European equity space and futures contracts are pointing to a stronger open for US stocks," noted Kathleen Brooks, research director at XTB trading group.
"There are threats to inflation down the road, but they are concerns for another day.
"For now, stocks are playing catch up, bonds remain stable and the weakening in the dollar in recent days has helped to boost risk sentiment."
Still, there remains a certain amount of caution ahead of Donald Trump returning to the White House next week, having promised to ramp up tariffs on imports, and slash taxes and regulations that many fear could reignite inflation.
Oil prices eased despite uncertainty over a ceasefire deal between Israel and Hamas.
Gaza's civil defence agency said Thursday that Israel has pounded several areas of the Palestinian territory since the announcement of a ceasefire deal, killing at least 73 people and wounding hundreds.
Israel accused Hamas of backtracking on parts of the deal announced Wednesday.
Crude futures had won strong support since the announcement Friday of fresh US-UK sanctions on Russia's energy sector -- and amid fears Trump will ramp up measures against key producer Iran.
- Key figures around 1045 GMT -
London - FTSE 100: UP 0.8 percent at 8,369.14 points
Paris - CAC 40: UP 2.0 percent at 7,625.29
Frankfurt - DAX: UP 0.1 percent at 20,601.39
Tokyo - Nikkei 225: UP 0.3 percent at 38,572.60 (close)
Hong Kong - Hang Seng Index: UP 1.2 percent at 19,522.89 (close)
Shanghai - Composite: UP 0.3 percent at 3,236.03 (close)
New York - Dow: UP 1.7 percent at 43,221.55 (close)
Euro/dollar: DOWN at $1.0291 from $1.0293 on Wednesday
Pound/dollar: DOWN at $1.2206 from $1.2239
Dollar/yen: DOWN at 155.66 yen from 156.52 yen
Euro/pound: UP at 84.28 pence from 84.08 pence
West Texas Intermediate: DOWN 0.3 percent at $78.45 per barrel
Brent North Sea Crude: DOWN 0.4 percent at $81.69 per barrel
(P.Davis--TAG)
