This Tuesday the stock markets in Europe and Asia have received with positive effects and very good numbers the stimuli that the United States Federal Reserve is beginning to implement. Today the Covid19 is not the problem.
The rise of Wall Street on Monday and of Asia this morning due to stimulus plans in the United States and Japan have stimulated the great European squares in the opening, which appreciated by around 2%, according to market data.
At 9.15 local time (7.15 GMT) Frankfurt gained 2.54%; London, 2.45%; Paris, 2.3%; the Euro Stoxx index, 2.27%; Milan, 2.1%; Madrid, 1.81%, and Zurich, 1.64%.
Wall Street managed to finish with gains yesterday (the Dow Jones Industrials index rose 0.62%; the S&P, 0.83%, and the Nasdaq, 1.43%) after manufacturing activity grew in part of United States and that it was known that the Federal Reserve begins today to buy corporate debt for a maximum amount of 750,000 million.
In addition, the United States could approve an infrastructure plan in which it would spend up to a trillion dollars and the Bank of Japan has maintained interest rates, but has also pledged to support companies with debt purchases.
These circumstances drove the Asian squares: Tokyo has gained 4.88%, while Hong Kong appreciated by around 2.5%, and Shanghai, 1.5%.
European stock markets rose despite the drop in the barrel of oil – Brent, the benchmark in Europe, fell 0.4% and changed to $ 39.56.
For its part, the price of the euro rose slightly, to $ 1,134, while the yield on German long-term debt grew almost two hundredths and stood at -0.43%.
Investors will be awaiting the publication of some statistics, such as investor confidence in the euro zone and Germany (in this country inflation has fallen in May to 0.6%, three hundredths less than in April).
Tokyo soars
The main index of the Tokyo Stock Exchange, the Nikkei, shot up 4.88% on Tuesday after reports of the United States ‘multi-billion dollar infrastructure investment plan fueled investors’ risk appetite.
The Nikkei, which groups the 225 most representative titles on the market, advanced 1,051.26 points, to 22,582.21 points.
The Topix, which includes the firms in the first section, those with the largest capitalization, rose 62.67 points, 4.09%, to stand at 1,593.45 units.
Tokyo parquet opened sharply higher and reached mid-session with a rise of more than 3%, buoyed by the positive close on Wall Street after the Federal Reserve (Fed) announced that it will use up to $ 750 billion in purchases of corporate loans to boost the economy during the pandemic.
The Japanese market continued to rise strongly during the second tranche, thanks to the fact that investors’ risk appetite was fueled, in addition, by reports of a US government infrastructure investment plan valued at around one trillion dollars to channel your economy.
All sectors reaped gains, which were led by iron and steel, maritime transport and transport equipment.
The steel company JFE registered the highest advance among the companies listed on the Nikkei, at 11.69%.
Vehicle manufacturers Mazda Motor, Mitsubishi Motors and Yamaha Motor also saw significant gains, with shares rising 10.28%, 10.13% and 10%, respectively.
Telecommunications group Softbank accumulated the highest volume of operations of the day and climbed 2.79%, after announcing that it is studying to sell a part of its shares of the American operator T-Mobile, of which it owns a quarter.
Trading volume amounted to 2.75 trillion yen (€ 22.6 billion or $ 25.61 billion).
Notorious advance in Seoul
The Seoul Stock Exchange closed today with an advance of 5.28% of the Kospi, its main indicator, driven by the decision of the US Federal Reserve. (Fed) to launch more stimulus measures to leave behind the crisis caused by the pandemic.
The benchmark index ended with a rise of 107.23 points and stood at 2,138.05 whole, while the technological Kosdaq rose 42.23 points or 6.09%, to 735.38 units.
The Seoul parquet, like other Asian markets, has been dominated by optimism since the opening, leaving behind the losses of close to 5 percent the day before and those of previous days caused by fear of a second wave of infections.