Wednesday 18 October 2017

European stocks hit a six-year high

ISE is a top performer.
ISE is a top performer.

EUROPEAN stocks rose to their highest level in more than six years yesterday as mining companies advanced.

The Stoxx Europe 600 Index climbed 0.7pc to 340.96 at the close of trading.

"Markets could be in for a little bit more smooth sailing in the next months," said Allan von Mehren, chief analyst at Danske Bank in Copenhagen.

"The global economy is accelerating, central banks are dovish, companies are making acquisitions, and it's hard to see what could keep the market down from here."

A gauge of commodity producers jumped the most in almost seven months as JPMorgan Chase recommended buying miners on signs of a recovery in Chinese demand.

Sky Deutschland, which is controlled by Rupert Murdoch's 21st Century Fox, soared 9.9pc to €6.97 – the biggest increase in more than two years – after British Sky Broadcasting Group said it's in talks to buy the company. Murdoch also owns about 39pc of BSkyB.

Back in Dublin the Irish Stock Exchange closed at 4896.32, rising by 18.76 points during the day.

The main movers on the day included oil and gas exploration and production Aminex, up 11pc, and software and consulting services provider First Derivatives which jumped 10pc to €13 Other leaders included Donegal Investment, Fyffes and INM, up 3.13pc to 16.5 cents each.

In London, stocks climbed to their highest level in 11 weeks, again pointing to mining companies rallying which outweighed a decline by British Sky Broadcasting Group Plc.

The FTSE 100 Index gained 37.18 points, or 0.6pc, to 6,851.75 at the close.

In the US, stocks climbed as Internet and small-cap shares rallied, while the Dow Jones industrial average hit a record.

The Standard & Poor's 500 rose 0.8pc to 1,893.34 at lunchtime in New York, rising above its closing record from April 2.

Irish Independent

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