European Markets get a bounce as Libya regime tumbles
Published 22/08/2011 | 17:25
Stock markets in Europe and the US have rebounded, led by shares in energy firms, on hopes that fighting in Libya may soon end.
London's FTSE 100 and the CAC in Paris were both more than 2.5% up by the early afternoon.
While in New York after last week's heavy losses, the Dow, Nasdaq and S & P all showed gains.
Gold – seen as a safe haven investment in times of economic and political uncertainty – hit new record highs, rising to $1,895 per ounce.
Gold mining giant Randgold Resources posted strong gains, with a rise of 185p to 6795p, on the back of strong gold prices, as did African Barrick Gold, up 13p at 548.5p.
Elsewhere, oil prices fell on speculation that Colonel Muammar Gaddafi’s 40-year rule in Libya is on the edge of collapse.
Brent crude in London fell nearly 2% to 107.05 US dollars a barrel, however US sweet crude was up 2% to 83.9 US dollars.
But this failed to deter traders from oil stocks with Cairn Energy up 12p at 293.4p and BP ahead 7.7p at 397.6p.