European shares rose on Thursday, helped by mostly upbeat U.S. economic data, and with banks gaining after taking advantage of cheap finance offered by the European Central Bank.
Financial stocks led European share markets higher on Thursday in thin trade, while the euro rose, on hopes the nearly half a trillion euros in three-year funds that banks have borrowed from the region's central bank will ease current funding strains.
European stocks and the euro rose on Thursday, recovering much of their losses a day earlier when banks borrowed nearly half a trillion euros in three-year funds from the region's central bank, with concerns about the health of Europe's financial system keeping gains in check.
Canada's main stock index was set to open lower on Wednesday as the initial enthusiasm faded about strong demand at European Central Bank's three-year tender
Stocks fell on Wednesday as hope faded that banks would use the European Central Bank's massive funding operation to buy regional sovereign debt and help mend the deep-rooted debt crisis.
Europe's banks borrowed nearly €490 billion or $637 billion from the European Central Bank at its first-ever offer of three-year loans on Wednesday, encouraging demand for the euro and stocks on hopes the funding will ease the two-year old debt crisis. On Wednesday at mid-day, London's FTSE 100 was down 25 points to 5,393, Germany's DAX was down 29 points to 5,819, and France's CAC 40 was off 22 points to 3,033.
Banks took a huge 489 billion euros at the European Central Bank's first ever offering of three-year funding on Wednesday, raising hope a credit crunch can be avoided and that the money may be used to buy Italian and Spanish bonds.
The outlook for Europe looks gloomy especially after the European Central Bank (ECB) warning that risks to euro area financial stability increased considerably in the second half of 2011, as the sovereign risk crisis and its interplay with the banking sector worsened in an environment of weakening macroeconomic growth prospects.
Europe's banks borrowed nearly 490 billion euros from the European Central Bank at its first-ever offer of three-year loans on Wednesday, encouraging demand for the euro and stocks on hopes the funding will ease the two-year old debt crisis.
European stocks and the euro firmed on Wednesday, enjoying a brief surge after banks borrowed around $489 billion euros from the European Central Bank at its first-ever offer of three-year loans on hopes it will be a significant step toward easing the region's two-year old debt crisis.
Army deserters killed by Syrian forces in one of the bloodiest massacres of the country's nine-month uprising as Arab League peace observers set to enter the country.
European shares and the euro rose on Tuesday on surprisingly good news about the German economy and a better-than-expected outcome at a Spanish treasury bill auction, but concerns about the euro zone debt crisis limited gains.
European shares and the euro rose on Tuesday on unexpectedly good news about the German economy's prospects, but concerns about problems policymakers are having in tackling the euro zone debt crisis limited gains.
Below are highlights of comments made by ECB President Mario Draghi in testimony to the European Parliament on Monday.
European finance ministers will pursue plans on Monday to enhance the IMF's arsenal and press on with a drive for tighter fiscal rules in an attempt to assuage doubts they can overcome their sovereign debt crisis.
Gold prices hovered in a tight range Monday as doubts that Eurozone banks have enough access to cash and the uncertainties about the severity of the continent's recession offset physical demand from Asian buyers.
European finance ministers will pursue plans on Monday to enhance the IMF's arsenal and press on with a drive for tighter fiscal rules in an attempt to assuage doubts they can overcome their sovereign debt crisis.
The euro zone will tackle its debt crisis this week by offering more cash to the IMF and long-term liquidity to banks, while moving toward tighter fiscal rules, after ratings agency Fitch cast doubt on its capacity to respond decisively.
The U.S. housing market, once the epicenter of the global financial collapse that spawned today's European debt crisis, is on the verge of delivering some positive news.
The euro zone will pursue measures to tackle its sovereign debt crisis this week by offering more cash to the IMF and long-term liquidity to banks, while moving towards tighter fiscal rules, after ratings agency Fitch cast doubt on it ability to forge a decisive response.
Even the safest euro zone banks could start queuing up at the European Central Bank for cash in the next few months as their massive exposure to government debt freezes them out of money markets.
Fitch Ratings on Friday warned it may downgrade France and six other Eurozone countries as it believes that a comprehensive solution to the region's debt crisis is technically and politically beyond reach.
