Euro stocks rally as Macron sworn in | Calamatta Cuschieri

European markets

Following the selloff in European stocks after French President Emmanuel Macron’s win on Monday, European markets rallied during Friday’s session as the Euro Stoxx 50, a stock index comprising of the fifty largest public companies in Europe, rose by more than half a percent to now stand at 3,268.55. The German DAX surged by 0.33% to a value of 12,753.41, while the French and British markets gained 0.27% and 0.54% respectively. Friday saw sovereign bond yields fall as the biggest loser was the Italian ten year as it currently yields 2.252%. Other sovereign yields also fell as the German ten year and the French ten year currently stands at 0.392% and 0.842% each. The Euro rose in value against both the American dollar and the British Sterling on Friday. The Euro rose by 0.51% against the Dollar and 0.56% against the Pound.

News on the European continent mainly focused on the French presidential election outcome whereby Emmanuel Macron claimed victory over Marine Le Pen. News quickly shifted to the next election in France, which is to be held in June, whereby voters will vote for their parliamentary representatives.

American markets

There is much speculation that Trump fired Comey over investigation that are underway on Trump’s Russian relations

The American press focused their attention on President Trump’s firing of the FBI’s head, James Comey, as he was not content with the way in which Comey was performing his duties. There is much speculation that Trump fired Comey over investigation that are underway on Trump’s Russian relations. Trump was quick to add fuel to the fire as he tweeted out a statement threatening Comey on releasing their telephone conversations.

The American markets witnessed the exact opposite of their European counterparts as the Dow Jones and the S&P 500 both lost ground during Friday’s trading session. The S&P500 lose 0.13% of its value, while the Dow Jones lose a mere 0.08%. The biggest winner on Friday was Wynn Resorts as it rose by more than 3%, while the biggest loser on the S&P500 was Nordstrom Inc. as its stock price fell by more than 9%. Yields on US Treasury also dipped during Friday’s session as the US 10 year saw its price rise by almost 0.6% but its yield fall by 2.3%. In the currency market, the US dollar gained some ground on the British Pound as it rose by 0.12%, but saw its value dip by 0.48% against the Japanese Yen. On Friday, Brent Crude also traded slightly lower as the price of one barrel of oil now sell at $50.71 which translates to a 0.12% daily change, while gold traded positively as it increased to 0.35% to now stand at £1,227.

Disclaimer:

This article was issued by Simon Gauci Borda, Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article is being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.