Close of Europe: the main regional indices end the week on the rise

European stocks extended their gains on Friday, ending at session highs as investors hunted for bargains at the end of a volatile week, fueled by fears over inflation and rate hikes of more aggressive interest.

The pan-European Stoxx 600 index rose 2.14% to 433.48 and ended a very volatile week higher, alongside all other major regional stock indices.

However, Bund yields were higher, as were Brent crude oil futures, while the euro found only slight supply, although TTF natural gas futures fell. most of the previous day’s earnings.

The theoretical spark for buying stocks was remarks by San Francisco Federal President Mary Daly overnight that interest rate hikes of 75 basis points were not ” a primary consideration”.

Commenting on recent sharp swings and losses in financial markets, overnight strategists from Bank of America said they spotted good news for investors who were waiting for a so-called “bearish bounce” as some of the most crowded latest trades, such as the short position in the Japanese yen, had started to unwind alongside the recent implosion. in the crypto space.

But while an exodus had begun, it was not a true surrender, they said.

A sellout would mark a sustained market bottom and force investors to sell “what they like” like Big Tech, private equity and the US dollar.

On the economic front, industrial production in the eurozone fell 1.8% in March from February, according to data released by the European Union statistics agency. Eurostat Friday. Year-on-year, production fell by 0.8% in the single currency area.

In the equity news, the shares of a Belgian pharmaceutical company UCB fell when the US Food and Drug Administration rejected a license application for its psoriasis drug, bimekizumab.

Finland Fortum Oyj surged after the utility announced plans to exit Russia by selling assets.

Shares in Vodafone plunged after a demotion to “hold” from “buy” by Jefferies and a reduction in the price target to 125p from 150p as the broker highlighted “unresolvable headwinds”.

Mary I. Bruner