Investing.com - European stocks were sharply higher on Thursday, as investors awaited the outcome of the European Central Bank’s upcoming policy meeting, amid hopes forfresh measures to stem the debt crisis in the euro zone.
During European morning trade, the EURO STOXX 50 climbed 0.85%, France’s CAC 40 advanced 0.81%, while Germany’s DAX 30 jumped 0.99%.
Markets were eyeing the ECB’s monetary policy meeting later Thursday, amid expectations that the central bank is set to announce more details of measures to help stabilize the region’s sovereign debt markets.
Central bank sources said earlier that the ECB is ready to waive seniority status on government bonds it buys under a new program which it is set to be approved at the upcoming meeting.
Such a step could help encourage private investors to buy debts of troubled countries, as that would mean the ECB would have to bear some of the burden of any losses should a country default.
Financial stocks were broadly higher, as shares in Germany’s Deutsche Bank and Commerzbank surged 1.51% and 0.97%, while French lenders Societe Generale and BNP Paribas rallied 1.41% and 1.33%.
Peripheral lenders also posted strong gains, as Italy’s Unicredit jumped 1.79% and Intesa Sanpaolo climbed 0.71%, while Spanish lenders Banco Santander and BBVA gained 1.08% and 0.51% respectively.
In London, commodity-heavy FTSE 100 rose rallied 0.71%, boosted by gains in mining and oil stocks, while investors eyed the release of the Bank of England’s rate statement later in the day.
Mining giant Rio Tinto was one of the session’s top gainers, with shares rallying 1.58%, closely followed by BHP Billiton, up 1.08%, while copper producers Xstrata and Kazakhmys advanced 1.02% and 1.40% respectively.
Lonmin, the platinum producer whose main mine has been shut since August 10 because of a violent strike, saw shares soar 5.76% after the company signed an agreement with three labor unions to reopen wage talks.
Also on the upside, oil and gas major Anglo American jumped 1.31%, while BP added 0.15%.
Elsewhere, Dixons Retail advanced 1.94% after saying that first quarter like-for-like sales rose 5%, beating estimates.
The U.K.’s largest consumer electronics retailer added that same-store sales in the U.K. and Ireland, which account for almost half of the group’s business, climbed 7%.
In the financial sector, stocks were mixed. Shares in Barclays fell 0.19%, while Lloyds Banking added 0.35%, the Royal Bank of Scotland climbed 0.72% and HSBC Holdings rallied 0.74%.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.34% rise, S&P 500 futures signaled a 0.42% increase, while the Nasdaq 100 futures indicated a 0.44% gain.
Later Thursday, Germany was to release a report on factory orders.
The U.S. was to release a report on ADP non-farm payrolls, followed by weekly government data on unemployment claims. The country was also to release a report by the Institute for Supply Management on service sector activity.
During European morning trade, the EURO STOXX 50 climbed 0.85%, France’s CAC 40 advanced 0.81%, while Germany’s DAX 30 jumped 0.99%.
Markets were eyeing the ECB’s monetary policy meeting later Thursday, amid expectations that the central bank is set to announce more details of measures to help stabilize the region’s sovereign debt markets.
Central bank sources said earlier that the ECB is ready to waive seniority status on government bonds it buys under a new program which it is set to be approved at the upcoming meeting.
Such a step could help encourage private investors to buy debts of troubled countries, as that would mean the ECB would have to bear some of the burden of any losses should a country default.
Financial stocks were broadly higher, as shares in Germany’s Deutsche Bank and Commerzbank surged 1.51% and 0.97%, while French lenders Societe Generale and BNP Paribas rallied 1.41% and 1.33%.
Peripheral lenders also posted strong gains, as Italy’s Unicredit jumped 1.79% and Intesa Sanpaolo climbed 0.71%, while Spanish lenders Banco Santander and BBVA gained 1.08% and 0.51% respectively.
In London, commodity-heavy FTSE 100 rose rallied 0.71%, boosted by gains in mining and oil stocks, while investors eyed the release of the Bank of England’s rate statement later in the day.
Mining giant Rio Tinto was one of the session’s top gainers, with shares rallying 1.58%, closely followed by BHP Billiton, up 1.08%, while copper producers Xstrata and Kazakhmys advanced 1.02% and 1.40% respectively.
Lonmin, the platinum producer whose main mine has been shut since August 10 because of a violent strike, saw shares soar 5.76% after the company signed an agreement with three labor unions to reopen wage talks.
Also on the upside, oil and gas major Anglo American jumped 1.31%, while BP added 0.15%.
Elsewhere, Dixons Retail advanced 1.94% after saying that first quarter like-for-like sales rose 5%, beating estimates.
The U.K.’s largest consumer electronics retailer added that same-store sales in the U.K. and Ireland, which account for almost half of the group’s business, climbed 7%.
In the financial sector, stocks were mixed. Shares in Barclays fell 0.19%, while Lloyds Banking added 0.35%, the Royal Bank of Scotland climbed 0.72% and HSBC Holdings rallied 0.74%.
In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.34% rise, S&P 500 futures signaled a 0.42% increase, while the Nasdaq 100 futures indicated a 0.44% gain.
Later Thursday, Germany was to release a report on factory orders.
The U.S. was to release a report on ADP non-farm payrolls, followed by weekly government data on unemployment claims. The country was also to release a report by the Institute for Supply Management on service sector activity.