The stock market on the other side of the world has also shown signs of good health despite the aggressive inflationary fight against inflation by the United States Federal Reserve.
The European stock is looking healthier than expected following a major interest rate hike by the European Central Bank (ECB) in a bid to combat inflation.
The STOXX Europe 600 (INDEXSTOXX: SXXP) is up 1.31% to 419.53. The growth ticker in the market was an encompassing one with the French stock market index, CAC 40 (INDEXEURO: PX1) up 1.35% to 6,208.70. The German DAX PERFORMANCE-INDEX (INDEXDB: DAX) also led the gains with a 1.53% upsurge to 13,102.31.
From the key market growth trends, Foods and Beverages were trading flat, basic resources shot up 3.3% higher, while banks were up 1.6%.
The European Central Bank has renewed its commitment to fighting inflation and pushed the interest rates up by 75 basis points. The Central Bank has shared its projections for the inflation expectations for the year which is placed at 8.1%. The fight against inflation is billed to continue until it is not of significance anymore.
The UK market is also surprisingly looking healthier after the death of Queen Elizabeth II at the age of 96. Her Majesty, the Queen ruled for over 70 years as her reign maintained the legacy of the British empire as one of the most successful in history.
“Queen Elizabeth II was the rock on which modern Britain was built. Our country has grown and flourished under her reign,” UK’s new Prime Minister Lizz Truss said in a statement. “Britain is the great country it is today because of her. She ascended the throne just after the Second World War. She championed the development of the Commonwealth – from a small group of seven countries to a family of 56 nations spanning every continent of the world. We are now a modern, thriving, dynamic nation.”
With the Queen’s eldest son, Prince Charles set to be coronated as the next monarch, the market has maintained a healthy outlook with the FTSE 100 Index (INDEXFTSE: UKX) up 1.52% to 7,372.33.
Stock Market on the Other Side of the Ocean
The stock market on the other side of the world has also shown signs of good health despite the aggressive inflationary fight against inflation by the United States Federal Reserve.
The commitment of Fed Chair Jerome Powell is to fight inflation in such a way as to get the job done. The target for inflation in the US remains 2 – 4%, a target if achieved will mark a very great milestone from the current 8.5% that it is.
“History cautions strongly against prematurely loosening policy,” Powell said at the Cato Institute, a libertarian think tank based in Washington, D.C. “I can assure you that my colleagues and I are strongly committed to this project and we will keep at it until the job is done.”
The S&P 500 (INDEXSP: .INX) was up 0.66% to 4,006.18. The Dow Jones and the Nasdaq Composite also closed Thursday’s trading session up 0.61% and 0.60% respectively.
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