Investing.com – U.S. stock markets rallied on Monday after new global banking regulations were less strict than expected and after upbeat economic data from China eased fears over a slowdown in global growth.
During early U.S. trade, the Dow Jones Industrial Average was up 0.76%; the S&P 500 index climbed 1.12% and the Nasdaq Composite index jumped 1.72%.
The financial sector emerged as the top performer after the Basel Committee on Banking Supervision increased the amount of capital banks must set aside against potential losses, but gave lenders up to eight years to comply with the new regulations.
Shares in Marshall & Ilsley Bank jumped 5.32%, while shares in Bank of America rose 3.17% and shares in J.P. Morgan Chase & Company advanced 3.82%.
Earlier Monday, official data from China showed a 7.2% annualized rate of growth in crude oil demand. A separate report showed that Chinese industrial production rose more than expected in August while retail sales rose sharply and consumer prices rose in line with expectations.
The data eased fears over a slowdown in the world's second largest economy.
Across the Atlantic, European stock markets also rallied: France’s CAC 40 surged 1.21%; Germany's DAX rose 0.80%; Britain's FTSE 100 jumped 1.17%; and the EURO STOXX 50 climbed 0.92%.
Earlier in the day, the EC said it now expected the euro zone economy to expand by 1.7%, up from a previous estimate of 0.9%, but warned that growth is likely to slow in the second half as the world economy hits a "soft patch".
During early U.S. trade, the Dow Jones Industrial Average was up 0.76%; the S&P 500 index climbed 1.12% and the Nasdaq Composite index jumped 1.72%.
The financial sector emerged as the top performer after the Basel Committee on Banking Supervision increased the amount of capital banks must set aside against potential losses, but gave lenders up to eight years to comply with the new regulations.
Shares in Marshall & Ilsley Bank jumped 5.32%, while shares in Bank of America rose 3.17% and shares in J.P. Morgan Chase & Company advanced 3.82%.
Earlier Monday, official data from China showed a 7.2% annualized rate of growth in crude oil demand. A separate report showed that Chinese industrial production rose more than expected in August while retail sales rose sharply and consumer prices rose in line with expectations.
The data eased fears over a slowdown in the world's second largest economy.
Across the Atlantic, European stock markets also rallied: France’s CAC 40 surged 1.21%; Germany's DAX rose 0.80%; Britain's FTSE 100 jumped 1.17%; and the EURO STOXX 50 climbed 0.92%.
Earlier in the day, the EC said it now expected the euro zone economy to expand by 1.7%, up from a previous estimate of 0.9%, but warned that growth is likely to slow in the second half as the world economy hits a "soft patch".