European stocks eliminate pandemic losses as they reach their peak
European stocks have set a new record, and deep pandemic losses have been wiped out as investors have piled on economically sensitive stocks.
The Stoxx 600 index gained 1 percent on Tuesday in early trading, surpassing the record set in February 2020, before the coronavirus crisis it caused a hard slide in global markets.
On the day stocks were added across Europe, the UK’s FTSE 100 rose 1.1 per cent, the German Dax index rose 1.2% and the French CAC gained 0.7 per cent.
European stock markets have taken longer to recover than competitors on Wall Street, as the region has a higher proportion of cyclical companies that are in line with economic prospects. In the US, on the other hand, there are companies with the highest growth in the world, in particular technologythey were able to withstand rapid sales growth during the pandemic.
The Stoxx 600 gained 9 percent this year after falling nearly 40 percent last spring and falling 4 percent in 2020. US reference The S&P 500 has risen a similar margin in 2021, but gathered more than 16 percent last year.
This year’s biggest winners in Europe have been automakers, travel and leisure companies and banks – all up at least 19 per cent by the end of 2020.
Earnings in Europe on Tuesday came after most markets in the region closed on Easter holidays on Monday. Wall Street, S&P 500 it reached another height A report after expanding activity in the U.S. service sector broadly at the fastest rate recorded last month – confirmed that the world’s largest economy is booming as a result of the Covid-19 crisis.
“We believe that investors should not be afraid to enter the market at all times,” said Mark Haefele, UBS’s leading global wealth management investor, citing U.S. equities. “We recommend that you continue in your position reflective trading as the economic recovery progresses ”.
The Prime Minister of the United Kingdom explains how the world economy is recovering from the pandemic Boris Johnson announced it on Monday 12 April England would lift its “roadmap” to lift the blockade on step 2, when premises with outdoor pubs, non-essential shops, hairdressers and indoor gyms could be reopened.
The outlook was more muddy in some parts of continental Europe as several countries reintroduced social restrictions wave of infection and slower spread of vaccines.
However, economists expect the eurozone economy to grow by 4.2% this year, after falling by 6.6 percent in 2020. The UK is anticipated rate a little faster 4.7% after falling 9.8 percent last year, according to economists surveyed by Bloomberg.