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23.06.2015 16:00 European stocks close: stocks closed higher on hopes for a deal between Athens and its creditors

Stock indices closed higher on hopes for a deal between Athens and its creditors. The head of the Eurogroup Jeroen Dijsselbloem said after the Eurogroup's meeting on Monday that a deal between Greece and its creditors could be reached this week.

"I am convinced that we will find an agreement this week. It's vital"." the EU's Economic and Financial Affairs Commissioner Pierre Moscovici said last night.

Meanwhile, the economic data from the Eurozone was better-than-expected. Eurozone's preliminary manufacturing PMI increased to 52.5 in June from 52.2 in May. Analysts had expected index to remain unchanged at 52.2.

Eurozone's preliminary services PMI rose to 54.4 in June from 53.8 in May. Analysts had expected the index to fall to 53.6.

Markit's Chief Economist Chris Williamson said that Eurozone's economy is expected to grow around 2.0% this year, depending on the outcome of the Greek debt talks.

He also said that the figures indicate a 0.4% growth of the economy in the Eurozone in the second quarter.

Germany's preliminary manufacturing PMI climbed to 51.9 in June from 51.1 in May, exceeding forecasts of an increase to 51.3.

Germany's preliminary services PMI was up to 54.2 in June from 53.0 in May. Analysts had expected index to remain unchanged at 53.0.

Markit's economist Oliver Kolodseike noted that the figures showed "a mixed picture of the health of Germany's private sector economy".

France's preliminary manufacturing PMI rose to 50.5 in June from 49.4 in May, beating forecasts of a rise to 49.5.

France's preliminary services PMI increased to 54.1 in June from 52.8 in May, beating expectations for a decline to 52.6. It was the highest level since August 2011.

The Senior Economist at Markit Jack Kennedy said that "the figures bode well for second quarter GDP".

The Confederation of British Industry (CBI) released its industrial order books balance on Tuesday. The CBI industrial order books balance dropped to -7% in June from -5% in May, missing expectations for a rise to 1%.

The decline was driven by lower exports. The export order book balance fell to -17% in June from -7% in May.

The balance for output volumes for the next three months rose to 16% in June from 15% in May.

"Output and overall orders are still doing better than average but hopes that export demand would start to drive forward have not yet been fulfilled. Improving momentum in the Eurozone is being offset by the effect of the strengthening pound on UK manufacturers' overseas sales and margins. On top of that, the ongoing Greek saga is causing uncertainty," the CBI director of economics Rain Newton-Smith said.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,834.87 9.20 0.13 %

DAX 11,542.54 82.04 0.72 %

CAC 40 5,057.68 59.07 1.18 %



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