Brightening outlook pushes markets higher

File: European stock markets are higher on strong corporate earnings and survey data. AFP/Daniel Roland

LONDON - Global equities rebounded as investors focused on bright earnings and data pointing to an economic recovery. 

London, Paris and Frankfurt stock markets rose as a survey showed the fastest growth of eurozone companies in April in nine months, sparking hope that the bloc would exit a double-dip recession.

The Dow followed cautiously, adding just 0.1 percent half an hour after the opening bell and after latest data showed the US jobs market strengthened last month even if payrolls still stand around eight million jobs down on pre-pandemic levels.

Tuesday's tech-led sell-off, which knocked Asian markets back, came after US Treasury Secretary Janet Yellen suggested US interest rates might need to be increased to temper inflationary pressures.

Stocks rose on Wednesday after Yellen clarified her comments by stressing she was not predicting or calling for a tightening of rates as the US embarks on a massive stimulus programme.

Oil prices meanwhile moved higher on hopes for a recovery in demand.

"European bourses are flying higher today, helped by strong earnings and accelerating business activity in the region," said OANDA analyst Sophie Griffiths.

Source
AFP

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