The US authorities filed a lawsuit against Facebook - what are the implications?
Banks drive European bourses after Fed hints at December rate lift
On Thursday, the banking sector powered a sturdy start for European equities after the Fed hinted at a probable December rate lift and announced it would get down to adjusting its balance sheet in October.
The STOXX 600 soared 0.3%, while euro zone stocks as well as blue-chips followed suit because the major US financial institution’s optimism on economic activity rekindled enthusiasm for financials and also cyclical sectors in the EU.
Banks (SX7P), the number one gainers from interest rate lifts that cushion margins, tacked on 1.2% reaching a one-month maximum on the prospect of the ECB following America in taming ultra-loose monetary policy.
Financial experts have been lifting their earnings expectations for EU financial institutions for much of the past 12 months.
Commerzbank became the top gainer, inching up 3.85%.
As for fallers, troubled British outsourcer Capita declined 9%after first-half profit went down and the hunt for a new CEO kept unrolling.
Russian media companies are complaining that Youtube and Facebook block them. So sad. Now, what about the stock price?
Have you seen the Tesla stock price? But it has already dropped from that high... will it move up again?
The European Central Bank will publish the monetary policy statement with the interest rate decision on January 21, at 14:45 MT time.
Joe Biden is going to unveil a Covid-19 relief package of about $2 trillion. After this announcement, the 10-year Treasury yield rose, adding support for the USD.
The US dollar’s weakness offered a boost to emerging-market currencies and oil.