European Stocks Rise as Focus Shifts to US Jobless Claims Data
European stocks advanced, boosted by the Federal Reserve’s quarter-point interest-rate cut, as investors turned their attention to US jobless claims data expected later today.
The Stoxx Europe 600 Index was 0.5% higher at 8:10 a.m. in London. Technology and autos led gains, while retail stocks lagged, weighed down by Next Plc’s warning of “anemic” growth in the UK. Elsewhewre, professional services firm Wolters Kluwer NV climbed 4.7% after accelerating its buyback program.
European stocks are hovering below their March record amid a resilient global economy. The benchmark now sits within 2% of its peak since the Federal Reserve rate cut.
Initial jobless claims are in focus as investors look for further clues on the health of the labor market. Mixed indicators from business surveys and softer jobs data mean the market is looking for clarity on the direction of the economy, according to Graham Secker, chief equity strategist at Pictet Wealth Management.
“What you have at the moment is the clear weaker data with regards to the US labor situation. So I think the question mark there is, ‘How bad is it going to get?’”
Source : Bloomberg.com
