PRODUCT PROFILE

Latest Dublin Prices

European markets up on new stimulus hope

Friday, July 27 08:32:12

European shares rose for the second consecutive day today, as renewed hopes of fresh stimulus measures from world authorities drove equity markets higher. The FTSEurofirst rose 0.1 percent to 1,045.12 points, adding to a 2.4 percent gain made on Thursday. The Euro STOXX 50 index rose 1.59 percent to 2,252.64 points. Markets had rallied on Thursday after European Central Bank President Mario Draghi pledged to take all necessary steps to protect the euro zone from collapse. The rebound by European shares on Thursday followed a fall of more than 4 percent in the FTSE EuroFirst over the previous four trading sessions, and the index could still end the week in negative territory after seven straight weeks of advances.

Bastion Capital's head of equities Adrian Slack said the stock market rally still had the potential to peter out soon, as European leaders have previously disagreed on the details of how to help the region's financial markets. "I'm still a seller into the rally. He's (Draghi) got to do it within the framework of the European Union, and it hasn't worked so far," said Slack. Slack said he would look to sell the Euro STOXX 50 index at 2,322 points, and Germany's DAX at 6,780 points. ( C) Reuters