Reuters Insider - European stocks head for fourth week of gains post-ECB

Baader Bank AG

13/09/2019 15:21

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Source: Reuters Insider

Description: European shares ground out gains for the fourth day running on
Friday as signs of progress in U.S.-China trade talks propped up shares after
a mixed response to stimulus from the European Central Bank a day earlier.
David Pollard reports.
Short Link: https://tmsnrt.rs/2NYSG8s

Video Transcript:

Asian stocks at six-week highs. Europe heading to a fourth week of gains.
Friday's share trading was on course to a positive close to the week thanks to
ECB chief Mario Draghi and thanks to Donald Trump. Traders took the US
President's apparent willingness to consider an interim trade deal with China
as a sign of a thaw in relations. After Wall Street's S&P 500 closed within a
whisker of an all-time high, Japan's Nikkei hit a four-month peak. Japanese,
US, and European longer dated bond yields rose too to six-week highs as
investors sold out of debt in search of more lucrative assets. 

The risks surrounding the Euro Area growth outlook remain tilted to the
downside. 

Europe's open was muted after the European Central Bank's policy decision on
Thursday. A rate cut plus a restart to its QE Program also got an angry
reaction in Germany's Das Bild newspaper. The horror for German savers goes on
and on, it wrote as Count Dragula sucks accounts dry by denying them a decent
return on their savings. Debate also raged over just how effective the ECB can
be in reviving the Eurozone economy. Robert Halver of Baader Bank. 

Cheap money only helps borrower countries such as Italy. They can now run up
even cheaper debt but private businesses, companies, and consumers gain
nothing. On currency markets though, the Euro did gain, hitting a 17-day high
against the Dollar on a growing belief the ECB may now be done with stimulus