💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

European stocks hold gains on World Bank forecast; Dax jumps 1.24%

Published 01/15/2014, 07:17 AM
NDX
-
UK100
-
FCHI
-
DJI
-
DE40
-
STOXX50
-
HSBA
-
BARC
-
NWG
-
DBKGn
-
BNPP
-
FTNMX551030
-

Investing.com - European stocks remained higher on Wednesday, after the World Bank raised its global growth forecast and as Tuesday's upbeat U.S. and euro zone data broadly continued to support equity markets.

During European afternoon trade, the EURO STOXX 50 advanced 0.76%, France’s CAC 40 climbed 0.64%, while Germany’s DAX 30 jumped 1.24%.

Equities strengthened after the World Bank increased its global growth forecasts, predicting the world economy will expand 3.2% this year, compared to a previous projection of 3% and up from 2.4% in 2013.

Equity markets were also boosted on Tuesday after the Commerce Department that U.S. retail sales rose 0.2% in December, while core retail sales, which excludes auto sales, rose 0.7%.

Financial stocks were broadly lower, as French lenders BNP Paribas and Societe Generale rallied 1.91% and 2.76%, while Germany's Deutsche Bank climbed 1.56%.

Among peripheral lenders, Spanish bank BBVA jumped 1.80%, while Italy's Intesa Sanpaolo and Unicredit advanced 1.64% and 1.88% respectively.

Elsewhere, Hennes & Mauritz surged 2.15% after the clothing retailer posted a 10% increase in total sales in December, exceeding the 9.1% rise expected by analysts.

In London, FTSE 100 rose 0.37%, led by a 6.36% jump in Burberry shares after the U.K. luxury-goods maker posted quarterly revenue that topped analysts’ estimates.

Financial stocks were also on the upside, as HSBC Holdings climbed 0.42% and Barclays advanced 1.17%, while Lloyds Banking and the Royal Bank of Scotland rallied 1.33% and 1.87% respectively.

In the mining sector, stocks were mixed. Vedanta Resources dropped 0.48% and Fresnillo plummeted 3.05%, while Glencore Xstrata gained 0.54% and Rio Tinto advanced 0.98%.

In the U.S., equity markets pointed to a higher open. The Dow Jones Industrial Average futures pointed to a 0.21% rise, S&P 500 futures signaled a 0.17% gain, while the Nasdaq 100 futures indicated a 0.35% increase.

Also Wednesday, data showed that German gross domestic product grew by 0.4% in 2013, following growth of 0.7% in 2012. Analysts had been expecting growth of 0.5%.

Later in the day, the U.S. was to release data on producer price inflation and a report on manufacturing activity in the New York region.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.