European Stocks, Dollar Rally Tracking Trump

European stocks, dollar rally tracking Trump

LONDON, , (Pakistan Point News - APP - 14th Nov, 2016 ) - European stock markets rallied Monday and the Dollar surged to multi-month highs, with traders shrugging off concerns over the Trump presidency and weak Chinese economic data. In foreign exchange, the euro struck a ten-month low at $1.0728, while the dollar reached also a five-month peak versus the Yen. "European shares are trading higher... despite disappointing Chinese industrial production and retail sales data," said Markus Huber, a trader at City of London Markets.

"It appears that the fact that president-elect Trump might not be quite as radical and confrontational as some had feared and therefore generally less uncertainty making the rounds is pushing stocks higher for now." Equities around the world have seen volatile trading since the tycoon's shock election win last week, with his pledge of big-spending measures and tax cuts leading to predictions of a surge in inflation and higher borrowing costs. The prospect of better and safer returns in the US has also led to an exodus from emerging markets and currencies, while the Mexican peso has hit record dollar-lows owing to concerns about Trump's warning he will tear up a key trade deal. Around 1030 GMT, London's benchmark FTSE 100 was 1.1-percent higher compared with the close on Friday. Frankfurt's DAX 30 jumped 0.9 percent and the Paris CAC 40 rallied 1.2 percent.