U.S. stocks climbed as GDP data came out above expectations. Third quarter Gross Domestic Product increased 3.5%. Strong gains were seen the day before after the Fed decided to end quantitative easing and made hawkish remarks regarding the labour market. Leading gains Visa Inc. climbed 10.24% and MasterCard climbed 9.4%. The S&P 500 closed 0.62% higher and the Dow Jones closed 1.3% higher.
Asian markets rallied as the Bank of Japan made a surprising decision to extend monetary stimulus. The monetary base stood at 60-70 trillion Yen per year but has now been increased to 80 trillion Yen. The Yen dropped and the Dollar soared to a 7 year high of 111.7. The Nikkei as a result gained 4.83% and exporters were boosted. Toshiba added 4.47% after posting a rise in profits and Mitsubishi added 3.74%. Gains were also seen after reports the Japanese Pension Fund will increase holdings of equities. The Hang Seng added 1.25% due to reports that tests will be held this weekend for the China – Shanghai trading link.
European markets are higher today in reaction to the Bank of Japan’s decision. Gains are also being seen after the European CPI increased by 0.4%, up from 0.3% last month. The European Central Bank aims for inflation to be around 2 % and there have been recent worries of deflation as the value has been below 1% for a year. Currently, the CAC 40 is up 2.17% while Germany’s DAX is up 1.93% and London’s FTSE 100 is up 1.09%.
October 31, 2014 – Indices News
U.S. stocks climbed as GDP data came out above expectations. Third quarter Gross Domestic Product increased 3.5%. Strong gains were seen the day before after the Fed decided to end quantitative easing and made hawkish remarks regarding the labour market. Leading gains Visa Inc. climbed 10.24% and MasterCard climbed 9.4%. The S&P 500 closed 0.62% higher and the Dow Jones closed 1.3% higher.
Asian markets rallied as the Bank of Japan made a surprising decision to extend monetary stimulus. The monetary base stood at 60-70 trillion Yen per year but has now been increased to 80 trillion Yen. The Yen dropped and the Dollar soared to a 7 year high of 111.7. The Nikkei as a result gained 4.83% and exporters were boosted. Toshiba added 4.47% after posting a rise in profits and Mitsubishi added 3.74%. Gains were also seen after reports the Japanese Pension Fund will increase holdings of equities. The Hang Seng added 1.25% due to reports that tests will be held this weekend for the China – Shanghai trading link.
European markets are higher today in reaction to the Bank of Japan’s decision. Gains are also being seen after the European CPI increased by 0.4%, up from 0.3% last month. The European Central Bank aims for inflation to be around 2 % and there have been recent worries of deflation as the value has been below 1% for a year. Currently, the CAC 40 is up 2.17% while Germany’s DAX is up 1.93% and London’s FTSE 100 is up 1.09%.
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