Arab Today, arab today european markets surge confident on reforms despite vote shock
Last Updated : GMT 17:58:30
Arab Today, arab today
Arab Today, arab today

European markets surge, confident on reforms despite vote shock

Arab Today, arab today

Arab Today, arab today European markets surge, confident on reforms despite vote shock

Paris - AFP

Italy led European stock markets on Monday in a robustly positive reaction to European Parliament elections which put conservatives in a leading position, but also gave anti-EU forces a huge boost in France and Britain. The euro and sterling steadied after an initial wobble on Monday despite nationalist shocks in European elections, with traders saying that economic reforms will continue. On the crucial market where eurozone countries borrow to finance their debt, sentiment also appeared serene. There was strong demand from investors to buy bonds issued by southern European countries hardest hit by the state of their finances and by the hardship of reforms, but which are now recovering. Bond strategist Nordine Naam in Paris commented: "The (composition of) the European parliament will not change really... There was an anti-Europe message notably in France and Greece, but that is not the case across Europe and the market is taking account of the overall outcome." The euro, which had opened slightly down affected by weak data for the German economy on Friday, edged up to $1.3652 from $1.3632 late on Friday. The euro rose to 139.05 yen from 138.91. The dollar was steady at 101.85 yen from 101.91. Markets in London were closed for a holiday, but Italy led European stock markets in an upbeat positive reaction to the election outcome overall. The Italian FTSE Mib index of top companies surged 3.61 percent to 21,494 points, led by banking shares. Traders there said that sentiment had been boosted by an unexpectedly strong election showing on Sunday by the Democrat Party of reformist Prime Minister Matteo Renzi. Frankfurt's DAX 30 hit a new record high gaining 1.28 percent to 9,892.82 points, while the CAC 40 in Paris added 0.75 percent to close at 4,526.93 points On the debt market, Italian 10-year bonds fell to 2.98 percent from 3.155 percent, and the Spanish rate fell to 2.894 percent from 2.986 percent. - Reforms 'should continue' - "Eurosceptic parties are the big winners and their victories in France and Britain weaken Europe overall," said Credit Mutuel CIC analysts. "However, the traditional parties have held on to a clear majority in the parliament which should enable reforms under way to continue." Investors also took account of the victory in a presidential election in Ukraine of pro-West chocolate tycoon Petro Porochenko. Reforms and budget rigour to strengthen public finances in response to the eurozone debt crisis, immigration, competition from abroad and distant powers exercised by European Union authorities, were central subjects in the campaign across the 28-nation bloc. This had led analysts to warn that if far-right, far-left or nationalist forces did strongly overall, clouds could appear over the process of post-crisis economic reform. At Berenberg bank, economist Holger Schmieding commented that the overall European election showed very mixed results "with good and bad news for markets roughly balanced", according to projections of the final results. The results in France, "the sick man of Europe", may make it difficult for reformist Socialist Prime Minister Manuel Valls "to push his agenda of expenditure cuts to ease the tax burden that is stifling the French economy", but "we do not expect his government to fall", Schmieding said. It was "more likely that he will get some watered-down reforms passed with some support from centrist parties or even the centre-right". Schmieding also commented that in Britain, the newcomer UKIP independence party would do worse in a general election next year, but that the bigger question was the effect of the party's breakthrough on thinking in more pro-Europe Scotland which is heading for a referendum in September on breaking away from the United Kingdom.  

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today european markets surge confident on reforms despite vote shock Arab Today, arab today european markets surge confident on reforms despite vote shock

 



Arab Today, arab today
Arab Today, arab today Ideen Belmahdy happy to be part of “ Fashion Star”

GMT 17:00 2017 Sunday ,26 February

Ideen Belmahdy happy to be part of “ Fashion Star”
Arab Today, arab today Tourist guide explains types of tourism

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism
Arab Today, arab today Expresses Algerian history by woody figures

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures
Arab Today, arab today Iran complying with nuclear deal

GMT 07:14 2017 Saturday ,25 February

Iran complying with nuclear deal
Arab Today, arab today Ayat Abaza says state TV presented major stars

GMT 03:52 2017 Sunday ,26 February

Ayat Abaza says state TV presented major stars

GMT 14:44 2017 Saturday ,25 February

China overtakes US as Germany’s top trade partner

GMT 05:53 2017 Saturday ,25 February

Global sovereign debt to hit new all-time high

GMT 05:17 2017 Saturday ,25 February

Oil world cautious on Trump’s next move

GMT 09:59 2017 Friday ,24 February

Baidu revenue slips anew amid ad clampdown

GMT 05:20 2017 Thursday ,23 February

WTO ratifies first multilateral trade deal
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Reading therapy relieves mental disorders

GMT 15:39 2017 Friday ,24 February

Reading therapy relieves mental disorders
Arab Today, arab today UK appoints 1st Scotland Yard chief in 188 years

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Ola Ghanem hopes to work with M.Ramadan

GMT 07:23 2017 Friday ,24 February

Ola Ghanem hopes to work with M.Ramadan
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:08 2017 Thursday ,23 February

Actress Lobna Abdel Aziz proud of her career

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby

GMT 13:47 2017 Friday ,24 February

Rabia Fatima reveals role of "Facebook" in her career

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 20:33 2017 Friday ,17 February

To release new antiques collection

GMT 10:20 2017 Thursday ,23 February

Brazil's top diplomat resigns

GMT 11:54 2017 Thursday ,23 February

Saudis await visitors but will they come?

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday