LONDON – European stocks are expected to open higher on Thursday, tracking overnight gains in the Asia-Pacific markets following a rally in US stock index futures.
According to IG, London’s FTSE will open 21 points higher at 6,907, Germany’s DAX 50 points to 15,235, French CAC 40 22 points to 6,154, and Italy’s FTSE MIB 152 points to 24,575, according to IG. …
The positive start for European stocks came after the similarly optimistic growth in the Asia-Pacific region, which was facilitated by trading in the US; Asian stocks mostly rose in trading on Thursday after the S&P 500 climbed to a record high on Wednesday’s close.
US stock futures also rallied the day before, suggesting Wall Street may continue the rally that propelled the S&P 500 to record levels this week.
Investors appeared to be reassured during Wednesday’s meeting by the minutes of the last Fed meeting, which showed that officials plan to maintain the same pace of asset purchases for some time, as the central bank works to maintain stable prices and maximum employment.
Meanwhile, President Joe Biden spoke Wednesday from Washington about his administration’s $ 2 trillion infrastructure plan, which includes raising the corporate tax rate to 28%, and said he is ready to negotiate the proposed tax hike.
European markets will be supported by UK and European regulatory announcements for the AstraZeneca / University of Oxford Covid vaccine.
Both regulators said that while a link between the vaccine and very rare blood clotting disorders is possible, the benefits of vaccination still outweigh the risks. The UK has said it will, out of caution, administer another Covid vaccine to children under 30.
On a corporate plan, UBS is holding an annual general meeting and retailer ASOS is publishing interim results. In terms of data, German industrial orders for February are due to be released.
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