Reuters Insider - Markets: stocks rally on data boost

Baader Bank AG

02/12/2019 15:25

Click the following link to watch video: https://share.insider.thomsonreuters.com/link?entryId=0_q5ejdrvr&referenceId=tag:reuters.com,2019:newsml_OVB8AGJGR_930&pageId=ReutersNews
Source: Reuters Insider

Description: Shares climbed back to recent highs on Monday, as upbeat factory
activity data from China and major eurozone economies boosted trade-sensitive
sectors. David Pollard reports.
Short Link: https://tmsnrt.rs/2DD4gQi

Video Transcript:

Share markets surprised themselves on Monday with a better-than-expected start
to a new trading month. The main reason: China. Manufacturing there apparently
enjoyed an unexpected rebound in November. The purchasing managers' index at
51.8 marked the quickest expansion in almost two years. Europe helped too.
France's PMI survey picked up at the quickest rate in five months. And Germany
wasn't quite as bad as expected. For Frankfurt's Dax, that helped offset
political worries, caused by new strains between its ruling parties. Baader
Bank's Robert Halver.

The DAX is stable, which is surprising since the coalition is entering its
next crisis. But what is important is that the Chinese attitude to their
economy remains positive. Naturally, that's helpful for the German exports. In
morning trading, the pan-European STOXX 600 followed through on Asia's
optimism by closing in on fresh-four year highs. Dollar-Yen saw a six-month
high. And oil with an additional boost on hopes of another OPEC output cut
this week, jumped above $61 a barrel.
Sentiment around the UK was less buoyant. Its PMI survey shows manufacturers
cut jobs in November at the fastest rate since 2012 as Brexit and a global
trade slowdown caused the sector's longest decline since the financial crisis