European stocks rose for a second day as investors assessed corporate results, and amid speculation that central banks will further support global growth.
The Stoxx Europe 600 Index added 1.9 percent to 332.67 at 9:55 a.m. in London, with miners and energy stocks leading gains as industrial metals and oil advanced. Despite heading for its second consecutive weekly increase after Thursday’s bank-fueled surge helped it recoup most of Wednesday’s tumble, the equity gauge is still on course for a third monthly decline. It has fallen 9 percent in 2016 amid concern over China’s slowdown, routs in banks and oil, and wavering faith in central-bank support.
Investors will look to the G-20 meeting in Shanghai for indications that policy makers are prepared to support growth after the market gyrations since the start of the year. The governor of the People’s Bank of China said he still has monetary policy tools at his disposal, although U.S. Treasury Secretary Jacob Lew said this week that an “emergency response” shouldn’t be expected from the group. The European Central Bank makes its next policy announcement on March 10.
Source : Bloomberg
Oil declined as expanding U.S. crude inventories kept supplies at the highest level in more than eight decades.
Futures lost as much as 1 percent, erasing a 0.9 percent gain Wednesday. Stockpiles increased for a second week to 507.6 million barrels, the most since 1930, according to an Energy Information Administration report. Prices won’t recover until the second half of next year at the earliest, Mexican Energy Minister Pedro Joaquin Coldwell said at a conference in Houston, estimating that the market is oversupplied by about 2 million barrels a day.
West Texas Intermediate for April delivery fell as much as 32 cents to $ 31.83 a barrel on the New York Mercantile Exchange and was at $ 31.86 at 3:05 p.m. Hong Kong time. The contract rose 28 cents to $ 32.15 Wednesday. Total volume traded was about 26 percent above the 100-day average. Prices lost 30 percent last year.
Brent for April settlement lost as much as 39 cents, or 1.1 percent, to $ 34.02 a barrel on the London-based ICE Futures Europe exchange. The contract advanced $ 1.14, or 3.4 percent, to $ 34.41 on Wednesday. The European benchmark crude was at a premium of $ 2.24 to WTI.