empty
24.02.2021 05:23 PM
European stock market climbs higher even amid existing problems

This image is no longer relevant

In the early session, the European stock exchange was trading mostly in positive territory although some indexes did not follow the trend. The market optimism was fueled by the speech of US Fed Chair Jerome Powell who testified before the Senate the day before on the results reached in the past six months.

The head of the Federal Reserve made it clear that the US regulator intends to leave the previous monetary policy unchanged. The easing of the fiscal policy was necessary to save the country's economy that had been hit hard by the coronavirus pandemic. The decision is based on the statistical data on inflation and employment. At the moment, these key indicators of economic development are far from the target levels that the government has set. In this regard, the US authorities have to maintain the key interest rate near the zero level and need to continue the large-scale purchases of government bonds. Moreover, this policy will remain until the economic data confirms real progress.

Meanwhile, the Fed pins high hopes on the mass vaccination against Covid-19 which is being rapidly rolled out in the country. Besides, another supporting factor is the new stimulus package that should be approved in the near future. This will create greater prospects for economic growth.

The economic indicators of the EU countries show a mixed picture. In particular, Germany's GDP for the fourth quarter of last year increased by 0.3%, while earlier estimates indicated a rise of only 0.1%. On a yearly basis, the main indicator dropped by 3.7%, slightly less than the preliminary forecasts of 4%. Notably, no one expected the data revision, and its surprising results provided some support to the markets.

In the meantime, the EU consumer prices index for January 2021 rose by 0.9% in terms of the general annual rate, according to the European Statistical Office. At the same time, the inflation rate has also reached its yearly highs. In January, the prices were 0.2% higher than in December 2020. In this case, the data has come fully in line with the preliminary forecasts.

The general index of large European companies, the STOXX Europe 600, is now up by 0.36% reaching a new mark of 412.9.

The German DAX Index rose by 0.63%, posting the biggest gain this morning. France's CAC 40 Index climbed by 0.18%. Spain's IBEX 35 Index gained 0.57% while Italy's FTSE MIB index showed a slight rise of 0.07%. The UK FTSE 100 index did not share the positive trend and was among the weak performers – it fell by 0.11%.

Maria Shablon,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

Stock markets regaining optimism. Where to find new entry points

European stocks rose amid hopes of easing trade tensions between the US and China. WTI oil fell by 1.54% to $62.05, while Brent declined by 1.51% to $65.86

12:42 2025-04-29 UTC+2

US Market News Digest for April 29

The S&P 500 and Nasdaq continue to climb, maintaining their upward momentum despite mixed performances across other sectors. Softer rhetoric from the Trump administration and expectations of further tariff relief

Ekaterina Kiseleva 11:59 2025-04-29 UTC+2

Optimism returns to the markets: where to look for new growth points

European stocks rose amid hopes for a reduction in trade tensions between the US and China. WTI oil fell by 1.54% to $62.05, Brent by 1.51% to $65.86

Thomas Frank 10:42 2025-04-29 UTC+2

US Market News Digest for April 28

The S&P 500 and Nasdaq ended the previous trading session higher, defying choppy performance across Asian and European exchanges. Investors are now focused on the upcoming economic data and earnings

Ekaterina Kiseleva 11:31 2025-04-28 UTC+2

Trump's first 100 days behind us: Markets await tariffs, earnings from giants

Trump policy summaries European stocks rose on Monday after a second straight weekly gain Investors are eyeing tariff changes, as well as a busy week of earnings and economic data

Thomas Frank 11:22 2025-04-28 UTC+2

Wall Street surges: Nasdaq soars 2.74% as tech stocks drive market higher

Procter & Gamble and PepsiCo fell after cutting forecasts, while Hasbro and ServiceNow jumped following their earnings reports. March durable goods orders surged more than expected. Alphabet beat revenue expectations

12:52 2025-04-25 UTC+2

US Market News Digest for April 25

US stock indices closed higher for the third straight session, buoyed by a sharp rally in the technology sector. The Nasdaq surged 2.74%, driven by strong earnings reports from companies

Ekaterina Kiseleva 11:42 2025-04-25 UTC+2

Wall Street on the rise: Nasdaq soars 2.74%, tech leads market higher

Procter & Gamble, PepsiCo fall after forecast cuts Hasbro, ServiceNow jump after results March durable goods jump more than expected Alphabet beats revenue estimates, shares rise after hours Asian markets

Thomas Frank 07:15 2025-04-25 UTC+2

Earnings parade: From Adidas sneakers to Boeing jets, quarterly reports push the market

Indices up: Dow 1.07%, S&P 500 1.67%, Nasdaq 2.50% Bessent calls US-China tariffs unsustainable, Trump open to talks Tesla, Boeing rise after quarterly results European stocks fall as investors weigh

Thomas Frank 13:15 2025-04-24 UTC+2

US Market News Digest for April 24

US stock indices, including the S&P 500 and Nasdaq 100, posted solid gains on optimism about progress in trade negotiations. Despite the lack of a clear position from the White

Ekaterina Kiseleva 11:05 2025-04-24 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.