EUROPE MARKETS: European Stocks Break 3-day Losing Streak As Investors Eye U.S. Health Care Vote
March 23 2017 - 12:26PM
Dow Jones News
By Sara Sjolin, MarketWatch
Pound jumps after U.K. retail sales beat forecasts
European stocks shook off early weakness to close firmly higher
Thursday, getting a boost from an upbeat session in the U.S. ahead
of a key vote on a health-care bill.
After a wobbly start to the day, the Stoxx Europe 600 index
ended 0.9% higher at 377.20, marking its first gain in four
sessions.
"Things took on a far greener hue after the U.S. open, [with]
solid gains from the Dow Jones leading to growth in Europe," said
Connor Campbell, financial analyst at Spreadex, in a note.
Read:Stock-market gains accelerate as investors make bets ahead
of health-care vote
(http://www.marketwatch.com/story/wall-street-stocks-lined-up-for-cautious-moves-ahead-of-yellen-speech-health-care-vote-2017-03-23)
"The day's main event is still to come: the House of
Representatives' vote on 'Trumpcare'. While things like the Muslim
travel ban have shown the kind of resistance the president can
expect, the health care bill marks the first real test of Trump's
ability to deliver the reforms he promised during the election," he
added.
"If the bill fails, and there is plenty to suggest that not all
Republicans are on board, then the markets may take that as a sign
that Trump's tax and infrastructure claims may not amount to much
either."
Stocks fought for direction earlier on Thursday, as investors
digested the latest selloff in the U.S. and Europe. Analysts said
the weakness came as the "Trump trade" that has pushed stock
markets higher in recent months started to dwindle ahead of the
health-care bill.
Movers: Next PLC (NXT.LN) jumped 8.1% after the fashion retailer
maintained its final dividend at GBP1.05 and confirmed its guidance
for the current year
(http://www.marketwatch.com/story/fashion-retailer-next-posts-drop-in-profit-2017-03-23).
Credit Suisse Group AG (CSGN.EB) (CSGN.EB) fell 2% after media
reports said
(http://www.reuters.com/article/us-credit-suisse-gp-ipo-swiss-idUSKBN16U1VX)that
the company is considering a $3 billion share sale
(http://www.marketwatch.com/story/credit-suisse-shares-drop-2-on-reports-of-3-billion-share-sale-2017-03-23)
instead of a separate listing of its Swiss banking unit.
Gemalto NV (GTO.AE) fell 3.8%, building on a 17% loss from
Wednesday when the digital security firm cut its financial
guidance.
ECB's cheap loan: Eurozone banks snapped up 233.5 billion euros
($251.58 billion) in free long-term loans from the European Central
Bank in the last round of the Targeted Longer-Term Refinancing
Operations, known as TLTRO. The program provides banks with
four-year interest-free loans in a bid to spur lending to
households and businesses.
Indexes: The U.K.'s FTSE 100 index rose 0.2% to 7,340.71.
Investors in London were still digesting the terrorist attack in
London on Wednesday afternoon, which left four people, including
the attacker, dead and dozens injured.
Read:Eight arrested in six raids as police probe London terror
attack
(http://www.marketwatch.com/story/seven-arrested-in-six-raids-as-police-probe-london-terror-attack-2017-03-23)
The pound jumped as high as $1.2531, from $1.2484 late Wednesday
in New York, after data showed U.K. retail sales jumped 1.4% in
February
(http://www.marketwatch.com/story/uk-retail-sales-surge-14-in-february-2017-03-23).
That's more than the 0.4% increased forecast by analysts.
Germany's DAX 30 index rose 1.1% to 12,039.68, while France's
CAC 40 added 0.8% to 5,032.76.
(END) Dow Jones Newswires
March 23, 2017 13:11 ET (17:11 GMT)
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