Gains in carmakers' shares drove European stocks higher for a second day amid a weak euro on optimism for further ECB stimulus.
The
Stoxx Europe 600 Index rose 0.84%. The
euro trading near its lowest level since April boosted automakers,
sending Volkswagen higher for a 10th day, its longest streak in five
years. The carmaker's shares were last seen up nearly 4%.
The region’s shares caught up the optimism, with
almost all industry groups higher.
Analysts noted, however, that any further upside will require some
support from central banks or from a relief in commodity prices. It is hard to begin evaluating what will
be the path for 2016 before the ECB and Fed December meetings.
A day earlier, the
European stock benchmark gauge rallied the most in a week,
climbing after a two-day drop. The index is again near a three-month peak, supported by speculation the European Central Bank will add to
stimulus measures and that the global economy is strong enough to
withstand a U.S. rates increase.
The volume of Stoxx 600 shares reversing course is 22% lower than the 30-day average.
With U.S. markets
closed today for the Thanksgiving holiday, markets are quieter than
usual.
British FTSE 100 added 0.68%, while French CAC 40 rose 1.24%. German DAX 30 gained 1.57% and Spanish IBEX 35 rose 0.99%, while Italian FTSE MIB rose 0.89%.
