Global stock markets rally continues

Market Data

Last Updated at 08:19 ET

Market index Current value Trend Variation % variation
Dow Jones 17678.70 Up 6.10 0.03%
Nasdaq 4771.76 Up 13.88 0.29%
S&P 500 2057.09 Up 5.27 0.26%
FTSE 100 6814.87 Down -37.53 -0.55%
Dax 10658.57 Down -139.76 -1.29%
BBC Global 30 8006.86 Down -41.70 -0.52%

Related Stories

Global markets rallied on Tuesday, bolstered by reports that central bank stimulus measures may continue and the release of strong US economic data.

Wall Street closed 0.7% higher, helped by data showing the biggest rise in US house prices in seven years.

Central banks in Europe and Japan have pledged to maintain monetary policy support to bolster economic recovery.

Markets were hit last week when the US Federal Reserve suggested it might start slowing its stimulus programme.

The Dow Jones index closed 0.7% higher, while the broader S&P 500 closed 0.6% up. In Europe, the FTSE 100 closed 1.6% higher, while France's Cac and Germany's Dax indexes added 1.4% and 1.2% respectively.

On Monday, when Wall Street and London markets were closed for holidays, European Central Bank board member Joerg Asmussen said monetary stimulus would stay as long as necessary.

Meanwhile, on Tuesday, Bank of Japan board member Ryuzo Miyao said it was vital to keep interest rates stable.

"Investors want to make sure that everyone is in the same boat, since monetary policy has been the mother's milk of the rally so far this year and there was some concern that policy would be changed or amended," said Paul Nolte, managing director at Dearborn Partners.

'Justification'

Investor sentiment was also boosted by US house price data that suggested recovery in the property market was gathering pace. The Case-Shiller index said the annual rise in prices was the strongest for seven years.

Separately, data from the Conference Board showed US consumer confidence in May rose to its highest level in more than five years.

Ryan Detrick, senior strategist at Schaeffer's Investment Research, said: "They say the stock market tends to lead the economy. Now we're starting to see the improvement on the economic front, so there's some justification for this rally."

On Tuesday, the Japan's Nikkei 225 index rose 1.2%, while the yen slipped against the dollar, a move that should help Japanese exporters. Other Asian indexes also ended higher, and eyes will be on the start of the next trading day to see if the rally is maintained.

Monetary stimulus has contributed to stock market gains this year, with the S&P 500 up about 17% and the FTSE 100 at a 12-year high.

But the run came to an abrupt halt last week after Fed chairman Ben Bernanke said US central bank may pull back on its bond purchases in the coming few weeks.

More on This Story

Related Stories

More Business stories

RSS

Features & Analysis

  • Devi AsmadiredjaHermit queen

    The German woman who swapped home for a mountain cave


  • Fishermen on lake in MalawiAfter the flood

    Water everywhere in Malawi and not a drop to drink


  • Women in shared roomCrowded house

    Five ways to survive sharing a bedroom with strangers


  • Part of a Thomas Greve picture of the liberation of BuchenwaldBearing witness

    How a young survivor's drawings helped bring the Holocaust to life


Elsewhere on the BBC

  • Older ladyAge of happiness

    A Russian photographer documents inspirational seniors who are refusing to grow old

Programmes

  • A computer generated model of a lift shaftClick Watch

    The future of elevator technology - lifts that can climb up to 1km in the air and even travel sideways

Copyright © 2015 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.