LONDON, Nov 26 (AFP): Lingering eurozone stimulus hopes lifted European stock markets on Tuesday, with sentiment buoyed also by upbeat German data and bumper gains elsewhere, dealers said.
In mid-afternoon trade, London's benchmark FTSE 100 index rose 0.10 per cent to 6,736.74 points and the Paris CAC 40 index gained 0.43 per cent to 4,387.17 compared with Monday's closing value.
Frankfurt's DAX 30 rose 0.79 per cent to 9,862.57 points, as official data confirmed that the German economy grew 0.1 per cent in the third quarter, narrowly avoiding a recession.
"Speculation that the European Central Bank could announce a QE (quantitative easing) programme in December is supporting equities," said Mike McCudden, head of equities at online broker Interactive Investor.
"Furthermore, merger and acquisition (M&A) speculation across the region is ensuring the main eurozone indices are being propped up," he told AFP.
ECB chief Mario Draghi last week signalled readiness to act quickly to deter deflation, sparking fresh stimulus hopes.
The comments, combined with China's surprise rate cut, gave markets a shot in the arm on Friday and have continued to boost share prices.
The French market was also lifted by better than expected data on business climate, with the national data institute reporting a three-point rise on the index to 94 although analysts had expected it to come in at 92.
Credit Agricole bank topped the risers board, soaring 2.58 per cent to 11.13 euros.
Rival Societe Generale was the next biggest gainer with a 2.18 per cent jump to 39.62 euros. And BNP Paribas rallied 1.77 per cent to 51.09 euros.
"European equity markets are still riding on the back of Mario Draghi's remarks that full-blown QE could be on the cards, should be it be called for," added analyst David Madden at trading firm IG.
Eurozone stimulus hopes push equities higher
FE Team | Published: November 27, 2014 00:00:00 | Updated: November 30, 2026 06:01:00
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