Stimulus hope boosts European stocks
City Index February 28, 2013 2:45 PM
<p>Shares have risen on the Stoxx Europe 600 Index following positive comments on stimulus from the president of the European Central Bank.</p>
The Stoxx Europe 600 Index climbed during early trading today (February 28th) on the back of European Central Bank (ECB) president Mario Draghi's indication that monetary stimulus packages are set to continue in the eurozone.
At 08:25 GMT in London, the index was up 0.5 per cent to 288.65 points, with Bayer AG one of the strongest performers in the morning session. Shares in the pharmaceutical firm rose 1.3 per cent after it indicated sales are set to rise by between four and five per cent this year, Bloomberg reports.
However, there was a fall for Deutsche Telekom – parent company of mobile phone network Everything Everywhere – which slipped 0.7 per cent after reporting lower-than-expected fourth quarter earnings.
The Stoxx Europe 600 Index has now risen by 3.2 per cent so far in 2013 and investor confidence has been boosted by Mr Draghi's comments.
Speaking at an event yesterday, he said policymakers have no plans to halt monetary stimulus packages, despite the possibility of the ECB's balance sheet shrinking as confidence is regained on the financial markets.
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