Global market sell-off halts with rallies in Asia and Europe
Global markets rally on Friday, pausing after several days of aggressive selling.
“It’s a pause for breath, we’ve had a sharp drawdown and now the market has taken a breath,” Kerry Craig, global market strategist at JPMorgan Asset Management said.
Stocks in Asia and Europe are higher, while US futures point to gains of more than 1% in US equities when the market opens in a few hours.
Stock markets in Europe and Asia are rallying on Friday after a fierce sell-off gripped global markets over the previous four days of trading.
At the close in Asia, all major share indexes had pulled back at least some of their losses over the past week, although all remained significantly lower than at the start of the week.
After 30 minutes of trading in Europe, indexes were largely higher by close to 1%, with Germany’s DAX leading the way higher.
It is unclear whether Friday’s rally is simply a pause in a longer downward move for markets, or whether the last few days have just been a blip in a continuing uptrend, but Stephen Innes, head of trading for Asia Pacific at OANDA put the rally down to tiredness in the market.
“This market is exhausted from all after the most significant sell-off in global equities since February,” he said in an email on Friday morning.
Kerry Craig, global market strategist at JPMorgan Asset Management agreed, saying: “It’s a pause for breath, we’ve had a sharp drawdown and now the market has taken a breath.”
Here’s how things look out there just after 8.30 a.m. BST (3.30 a.m. ET):
ASIA: Major indexes climbed, with the China A50 index gaining close to 2.5%, and Hong Kong’s benchmark Hang Seng index jumping around 1.8%. Stocks are still down substantially from the beginning of the week, however.
EUROPE: European stocks have broadly bounced back from …read more
Source:: Business Insider