European and Asian shares gain ahead of US fiscal stimulus - GulfToday

European and Asian shares gain ahead of US fiscal stimulus

European stock

Picture used for illustrative purpose. File

Gulf Today Report

European shares gained on Friday due to the increase in oil stocks and sign of development in the injection of US fiscal stimulus into the economy.


London FTSE 100 rose 0.8% as crude prices gained after a compromise between OPEC+ members to continue some production cuts. Europe's oil and gas index jumped 1.7%.


Pan-European STOXX 600 index rose 0.2% but looked set to end the week lower, ending a four-week winning streak, as disappointing economic data and Brexit uncertainty had weighed.


Nasdaq jumped to an all-time high as $908 billion aid plan gains momentum in the US Congress. 


According to David Madden, market analyst at CMC Markets UK said, "It's a mixture of both stimulus and the vaccine news both moving in the right direction." 



Indian shares advance as interest rate remain steady


Oil prices advanced after OPEC+ production consensus


Gold set for an increase due to US stimulus hope

Asian Shares


Asian shares advanced on Friday on optimism for a large US economic stimulus package and hope for a vaccine-led economy.


MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.78%, surpassing its Nov. 25 peak, led by gains in the tech sector, while Japan's Nikkei dipped 0.22% on profit-taking.


Investors are hopeful that the US Federal Reserve would adjust its purchase scheme before the year runs out. 


Mitsubishi UFJ’S Fujito said the rapid gain in stock prices since the announcement of a vaccine looks promising but the market might not peak yet.





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