European Stocks Set for Best Week in a Month; FTSE 100 Climbs
(Bloomberg) -- European equities opened steady, poised for the biggest weekly gain in a month, as all eyes remain on the trade talks. U.K. shares climbed after Prime Minister Theresa May won some time for a final push on her rejected Brexit deal.
The Stoxx Europe 600 Index was up less than 0.1 percent, set for a 2.2 percent advance this week. The FTSE 100 Index added 0.3 percent as May won the backing of British politicians to seek a delay to Brexit.
European equities have added more than $1 trillion in market value since December lows this year, buoyed by the U.S.-China trade talks optimism and bets that global growth isn’t faltering just yet. The market shrugged off a report that a meeting between President Donald Trump and President Xi Jinping to sign an agreement to end their trade war won’t occur this month and is more likely to happen in April at the earliest.
“Stocks are pricing in a severe economic downturn, but that’s not where we believe the global economy is,” said Chris Hiorns, a fund manager at EdenTree Investment Management, which oversees about $3 billion. “A positive resolution to the trade talks could serve as a powerful trigger for further gains.”
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