European shares surge on major bank decisions
On Thursday, European stocks started steeply higher, backed by the BOJ and Fed’s latest monetary policy decisions.
During European morning trade, the EURO STOXX 50 inched up 0.86%, German DAX 30 added 1.13%,while French CAC 40 soared 0.94%
Global equities were spurred after the Fed left interest rates intact on Wednesday at the conclusion of its policy gathering.
Besides this, the Fed diminished the overall number of rate hikes it expects this year from two to one. The major American bank also projected a less aggressive increase in interest rates next year and in 2018.
Meanwhile, Japan’s key bank refrained from dropping interest rates further into negative territory. It also refused to expand its asset purchase program and instead, the BOJ switched to targeting interest rates as a way to meet its inflation objective.
In London, commodity-heavy FTSE 100 managed to earn 0.57%, bolstered by steep revenues in the mining sector.