PARIS (dpa-AFX) - European shares look headed for a bright start on Thursday, tracking overnight rally on Wall Street and strong gains in Asian markets today.
Most of the markets across Europe remained shut on Tuesday and Wednesday for Christmas and Boxing Day, respectively. The German market was closed on Monday as well.
Asian markets are surging higher today, tracking overnight gains on Wall Street and the sharp rise in crude oil prices.
Easing worries about the tenure of Federal Reserve Chairman Jerome Powell after Kevin Hassett, chairman of the White House Council of Economic Advisers, said Powell's job was not in jeopardy, and bargain hunting after recent losses are set to push up stock prices.
U.S. President Donald Trump's criticism of the Federal Reserve's monetary policy stance was among the major reasons for Wall Street's declines in some of the previous sessions. 'The only problem our economy has is the Fed,' Trump tweeted recently. 'They don't have a feel for the Market, they don't understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders.'
Concerns about slowing global economy and trade war jitters were the other factors that weighed on stocks in recent sessions.
Wall Street's climb yesterday was on thin volumes as traders largely stayed away from their desks post Christmas holiday. Also, the rally happened after the market saw perhaps its worst Christmas Eve performance ever in history.
Lingering worries about global growth amid the ongoing Sino-U.S. trade tensions may weigh on sentiment and prompt traders to stay cautious at higher levels.
On Monday, most of the European markets ended in the red amid thin volumes. Several markets, including the German and Italian markets, were closed ahead of Tuesday's Christmas holiday. The CAC of France fell 1.45 percent and the FTSE 100 of the U.K. declined 0.52 percent.
On the economic front, reports on Italy's unemployment rate, Spain's retail sales are due today. Also due is the ZEW Survey report for Switzerland.
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