Global shares rallied as oil prices eased and the US Federal Reserve delivered a widely anticipated interest rate hike, which soothed bond markets.
Investors were also weighing the Bank of England’s decision to leave interest rates unchanged while signalling further policy tightening could be needed.
Dublin
Underperforming its European peers, the Iseq index was little changed.
Glanbia dragged on the index, falling by more than 7.5 per cent to €19.93 per share after Bank of America reinstated coverage of the stock and issued an underperform rating. The analysts said the stock was too expensive in a competitive global whey protein market.
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Index heavyweight Kingspan dipped by 0.8 per cent to €96.75.
Ryanair advanced by 1.2 per cent to €22.60 per share, tracking declining oil prices globally.
Banks struggled for direction, with Bank of Ireland little changed at €20.34, while AIB advanced by 0.3 per cent to €11.70 per share.
London
British stocks jumped as investors cheered the Bank of England’s decision to hold rates steady and pause active debt sales. However, it said UK inflation would likely top 4 per cent next year, and governor Andrew Bailey warned prolonged conflict in the Middle East may require higher borrowing costs.
The FTSE 100 rose by 1.2 per cent, while the mid-cap FTSE 250 added 1 per cent.
AstraZeneca advanced by 2.4 per cent after unveiling an investment of nearly €26 billion to upgrade its production and supply base in Wuxi, China, the company’s Chinese unit said in a statement.
Next also added about 2.4 per cent after the high-street fashion giant upgraded its profit forecast again and reported a 10.5 per cent profit rise for its first half as warm weather lifted sales.
Among mid-caps, budget carrier Wizz Air climbed 3.4 per cent after the airline set out medium-term financial targets, including annual revenue of €10 billion.
Europe
The blue-chip Stoxx 50 index and the pan-European Stoxx 600 rose by about 0.9 per cent each as oil prices slid.
Travel stocks were among the top early gainers, tracking retreating crude prices, with Lufthansa up by 1.3 per cent and Air France-KLM up by 0.5 per cent.
EssilorLuxottica, one of the best-rated blue chips in Europe, sank by 2.5 per cent to the bottom of the Stoxx 50 after receiving a rare sell rating from broker Kepler Cheuvreux. A rout in the stock, triggered by concerns about the future of the smart glasses market, has seen the Ray-Ban maker’s shares lose 55 per cent since November.
Automakers, meanwhile, jumped, with Mercedes-Benz and Volkswagen adding 1.9 per cent and 2.7 per cent, respectively.
New York
US stocks joined a rally in bonds after the Federal Reserve raised interest rates for the first time since 2023.
Brent crude prices fell 2.6 per cent to $103 a barrel. Treasury yields fell across the curve, with the 10-year yield down to 4.9 per cent after climbing as high as 5 per cent on Wednesday following the Fed decision.
The rebound in equities sent the S&P 500 up about 1 per cent, while the Nasdaq Composite advanced by 1.6 per cent and the Dow Jones added 0.6 per cent.
The Fed policy decision addressed a chronic source of anxiety, allowing investors to return to favourites. Technology shares gained, with Nvidia and Amazon rising nearly 2 per cent each. Marvell Technology, Intel and Advanced Micro Devices all gained at least 3 per cent.
Crypto-linked stocks rose after the US securities regulator unveiled a five-year exemption for tokenised stock trading.
Robinhood and Circle Internet Group rose about 3.5 per cent each, while Coinbase advanced 1.2 per cent. – Additional reporting: Bloomberg, Reuters
