European stocks scale all-time highs with miners in the lead

Optimism on global stimulus-led economic rebound after Fed pledges to keep monetary policy loose

Photograph: iStock

Photograph: iStock

 

European stocks hit record highs on Thursday on optimism around a global stimulus-led economic rebound after the US Federal Reserve pledged to keep monetary policy loose.

The pan-European Stoxx 600 rose 0.5 per cent by 0720 GMT, adding to gains made earlier this week when the index erased all of its pandemic-driven losses.

Miners, automakers and retailers led gains on the index - up between 0.7 per cent and 1 per cent in early trading.

Fed officials remain wary about the ongoing risks of the coronavirus pandemic and are committed to bolstering the economy until its recovery is more secure, minutes of the central bank’s latest policy meeting showed on Wednesday.

Investors broadly looked past news that several European countries had announced restrictions on the use of the AstraZeneca Covid-19 vaccine in younger people, after a link was found to very rare blood clots.

The British drugmaker’s shares inched up 0.7 per cent.

Holland-based technology investor Prosus NV rose 1.6 per cent after it sold 2 per cent of China’s Tencent Holdings Ltd for $14.7 billion in the world’s largest-ever block trade.– Reuters