Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

European stocks rise on ECB stimulus talk; Dax up 0.61%

Published 03/26/2014, 04:39 AM
Updated 03/26/2014, 04:39 AM
European Central Bank

Investing.com - European stocks were higher on Wednesday, as speculation over possible additional stimulus measures by the European Central Bank supported European equities.

During European morning trade, the DJ Euro Stoxx 50 gained 0.48%, France’s CAC 40 rose 0.35%, while Germany’s DAX advanced 0.61%.

ECB governing council member and Bundesbank chief Jens Weidmann said Tuesday that a negative deposit rate could be an appropriate way to address the impact of strong gains in the euro.

He also said it was not out of the question for the ECB to buy loans or other assets from banks to fight deflation, indicating a softening of the Bundesbank’s stance on quantitative easing.

Separately, ECB Governing Council member Josef Makuch said the bank is prepared to take decisive steps if necessary, adding that many policy options are available, including adding liquidity.

Financial stocks were mixed, as BNP Paribas (BNPP.PAR) slipped 0.28% and Societe Generale (SOGN.PAR) climbed 0.40% in France, while Germany's Deutsche Bank (DBKGn.XETRA) fell 0.14%.

Among peripheral lenders, Italy's Intesa Sanpaolo (ISP.MILAN) and Unicredit (CRDI.MILAN) edged down 0.09% and 0.12% respectively, while Spanish banks Santander (SAN.MADRID) and BBVA (BBVA.MADRID) rose 0.28% and 0.31%.

Elsewhere, Telefonica (TEF.MADRID) shares plummeted 1.04% after Telefonica Global Solutions and Akamai Technologies (NASDAQ:AKAM) formed a strategic global alliance to deliver Akamai's suite of content delivery network (CDN) solutions to Telefonica enterprise customers.

In London, FTSE 100 added 0.13%, led by Standard Life (SL.LSE), up 4.09%, after the financial group said it agreed to buy Ignis Asset Management from Phoenix Group Hldgs (PHNX.LSE) for £390 million cash.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Mining stocks were also broadly higher, as Glencore Xstrata (GLEN.LSE) rose 0.38% and Rio Tinto (RIO.LSE) jumped 1.11%, while rivals Fresnillo (FRES.LSE) and Antofagasta (ANTO.LSE) rallied 1.71% and 1.77% respectively.

On the downside, Vodafone (VOD.LSE) slipped 0.13% following reports the company's East-African unit Safaricom may abandon its bid to acquire assets owned by Essar Telecom Kenya in the absence of regulatory clearance.

Financial stocks added to losses, with shares in HSBC Holdings (HSBA.LSE) edging down 0.14% and Barclays (BARC.LSE) dropping 0.83%, while the Royal Bank of Scotland (RBS.LSE) tumbled 1.49% and Lloyds Banking (LLOY.LSE) plunged 4.09%.

Lloyds Banking came under selling pressure amid reports the U.K. lender has cost victims of the payment protection insurance (PPI) scandal tens of millions of pounds by wrongly cutting their compensation awards, accoding to a new investigation.

In the U.S., equity markets pointed to a moderately higher open. The Dow 30 futures pointed to a 0.09% rise,S&P 500 futures signaled a 0.06% gain, while the Nasdaq 100 futures indicated a 0.11% increase.

Also Wednesday, data showed that the Gfk German consumer climate index remained unchanged at 8.5 in March, in line with expectations.

Later in the day, the U.S. was to release data on durable goods orders.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.