Strong Tech Earnings Pump Up Global Markets, Dow Futures Jump

• Europe, Asian stocks up
• Dow futures jump
• Euro and pound recover

The stock market in Europe and Asia showed buoyancy on Friday as positive sentiments flowing from strong earnings of U.S. tech firms doused investor worries about a slowing global economy and trade war concerns.

The pan-European STOXX index hit its highest since Dec. 4 and jumped 0.8 percent. The indices for automakers and tech sector jumped 1.5 percent and 1 percent, respectively.

The euro recovered from a six-week low plunge caused by downbeat comments from European Central Bank President Mario Draghi. The euro lifted 0.2 percent to $1.13280, marking a small recovery.

The ECB had outlined downside risks to growth while Germany slashed its economic growth forecast for 2019.

In Asia, stocks rose on the back of strong earnings from U.S. tech firms. The dollar fell 0.2 percent against a basket of other currencies to 96.422.

The British pound was up by 0.2 percent and the pound-to-dollar exchange rate crossed the 1.31 barrier to touch 1.3120.

This followed the decision of Northern Ireland’s Democratic Unionist Party’s to support Prime Minister Theresa May’s Brexit deal on the condition that a time limit must be set for the Irish backstop.

Dow futures jump

Meanwhile, the surge in U.S. stock index futures ahead of Friday's market opening is pointing to upbeat sentiments among investors who are expecting the government shutdown to end soon.

The jump of Dow futures by more than 100 points at 6 a.m. ET was a positive sign indicating high trading ahead.

The upward jump of futures on the S&P 500 and Nasdaq also reinforced sentiments for a higher start to trading.

Many companies including Colgate-Palmolive, D.R. Horton, and AbbVie will report their earnings.

The optimism on the shutdown ending soon is borne by the move of a bipartisan group of lawmakers for an amendment to reopen a part of the federal government affected by the prolonged shutdown.

U.S. President Donald Trump also sent out some positive signals stating that if Republican Senate Majority Leader Mitch McConnell and Democratic leader Chuck Schumer could hammer out an agreement, he will be happy to support it.