EUROPE MARKETS: European Stocks Close Higher As U.K. Triggers Brexit Process
March 29 2017 - 12:22PM
Dow Jones News
By Sara Sjolin, MarketWatch
There's no turning back for the U.K. after Article 50
triggered
European stocks rose for a second straight day Wednesday, as
investors largely ignored the official commencement of the U.K.'s
negotiations to break from the European Union, dubbed Brexit.
After swinging in and out of positive territory through the day,
the Stoxx Europe 600 index closed 0.3% higher at 378.53, building
on a 0.6% rally from Tuesday
(http://www.marketwatch.com/story/european-stocks-bounce-back-as-worries-over-trump-rally-recede-2017-03-28).
The U.K.'s FTSE 100 index ended 0.4% higher at 7,373.72
(http://www.marketwatch.com/story/uk-stocks-rise-as-brexit-talks-set-to-kick-off-2017-03-29),
also after a volatile trading day. The pound traded at $1.2405 at
the time of the European market close, down from $1.2450 late
Tuesday in New York.
"As a piece of symbolism the picture of the U.K.'s EU Ambassador
Tim Barrow handing over the official notification of the U.K.'s
intention to leave the EU over to EU Council President Donald Tusk
is a powerful one, but in terms of the effects on financial markets
today its impact has been minimal, with the pound coming under some
selling pressure, but no more or less than in previous sessions,"
said Michael Hewson, chief market analyst at CMC Markets, in a
note.
U.K. Prime Minister Theresa May struck an upbeat tone when she
addressed parliament
(https://www.gov.uk/government/speeches/prime-ministers-commons-statement-on-triggering-article-50)
after the letter was delivered, saying Brexit presents a "unique
opportunity" to "build a stronger, fairer, better Britain--a
Britain our children and grandchildren are proud to call home."
However, the mood was different in Brussels.
"There is no reason to pretend that this is a happy day, neither
in Brussels, nor in London. After all, most Europeans, including
almost half the British voters wish that we would stay together,
not drift apart. As for me I will not pretend that I am happy
today," said Donald Tusk, president of the European Council
(http://www.marketwatch.com/story/we-already-miss-you-eu-president-tusk-tells-uk-after-brexit-letter-2017-03-29).
"We already miss you."
Individual indexes: Germany's DAX 30 index gained 0.4% to
12,203, while France's CAC 40 index rose 0.5% to 5,069.04.
Stock movers: Posting the biggest loss in the Stoxx 600, shares
of Scout24 AG (G24.XE) slid 8.9% after a disappointing guidance
from the online marketplace.
Shares of BHP Billiton PLC (BLT.LN) (BHP.AU) (BHP.AU) climbed
2.7% after the mining giant said it's considering a new iron-ore
investment
(http://www.marketwatch.com/story/bhp-billiton-looks-at-aussie-iron-ore-investment-2017-03-29)
in Australia.
London Stock Exchange Group PLC (LSE.LN) rose 2.7% and Deutsche
Börse AG climbed 1.7% after European Union's antitrust watchdog
blocked the planned $28 billion merger between the two
(http://www.marketwatch.com/story/eu-blocks-lse-deutsche-borse-merger-2017-03-29-54851952).
Shares of 3i Group PLC (III.LN) jumped 5.7% after Morgan Stanley
lifted the venture capital company to overweight from equal
weight.
Economic data:French consumer confidence
(http://www.marketwatch.com/story/french-consumer-confidence-unchanged-in-march-2017-03-29)
stood at 100 in March, Insee reported. That was the same reading as
in February, undershooting analysts' expectations.
(END) Dow Jones Newswires
March 29, 2017 12:07 ET (16:07 GMT)
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