Global Market News

European Bourses Track Higher Midday On Federal Reserve Outlook


Last updated: 05/13/2022 07:33:33

07:33 AM EDT, 05/13/2022 (MT Newswires) -- European bourses tracked higher midday Friday after Federal Reserve Chair Jerome Powell overnight reiterated that larger, 0.75% rate hikes by the US central bank are unlikely. Bank and tech issues paced gains.

Market denizens also weighed pre-bell Wall Street futures in the green, and higher closes overnight on Asian exchanges after China officials suggested anti-pandemic lockdowns could ease.

Industrial production in the Eurozone declined by 1.8% in March from February, and declined by 1.2% in the broader European Union, Eurostat reported. Economists had forecast a 2.0% decline.

The pan-continental Stoxx Europe 600 Index was up 1.4% mid-session.

The Stoxx Europe 600 Technology Index gained 2.1%, and the Stoxx 600 Banks Index rose 1.8%.

The Stoxx Europe Oil and Gas Index increased 1.4%, and the Stoxx Europe Food and Beverage Index rose 1.1%.

The REITE, a European REIT index, inclined 1.5%, while the Stoxx Europe 600 Insurance Index rose 1.2%.

On the national market indexes, Germany's DAX was up 1.4%, the FTSE 100 Index in London was up 1.6% and the CAC 40 in Paris was also up 1.6%. Spain's IBEX 35 was up 1.2%.

Yields on benchmark 10-year German bonds were higher, near 0.90%.

Front-month Brent crude oil futures were 1.7% higher at $109.31 per barrel.

The Euro Stoxx 50 volatility index fell 7.6% to 29.93, still indicating above-average volatility for European stock markets in the next 30 days, although lower than early March when the index tipped at 50. A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges.
Copyright © 2022 MT Newswires. All rights reserved. MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.

Quotes displayed with 15 minutes delay. Market data provided by Factset. Powered and implemented by FactSet Digital Solutions. Legal Statement. News provided by MT Newswires, a Division of MidnightTrader, Inc. Events Data provided by Wall Street Horizon. ©2021 Wall Street Horizon, Inc.