Influenced by strong Chinese data, European stocks traded strongly higher on Monday 28.09.2020, raising hopes that the global economic slump this year will not be as bad as expected given the markets fresh air.
China's industrial companies showed an increase in profits for the fourth month in a row that means the second-largest economy in the world is in a successful recovery process.
Meanwhile William Hill (LON: WMH) stock fell 12% after jumping over 40% on Friday receiving the proposal from Apollo and the casino giant Caesars Entertainment. Caesars is going to offer 272 pence per share totaling the price to £2.9 billion.
HSBC soared by 10% as the world’s biggest insurer, China’s Ping An, increased its stake from 7.95% to 8% after the bank’s stocks fell to the lowest since 1995 last week.
Diageo (DGE.L), the alcohol giant which stands behind Johnnie Walker whisky and Guinness beer, jumped 6%; the bullish update came when the chief executive Ivan Menezes had announced the company’s sales in the United States had been ahead of the expectations as well as in other regions over the world.
Elsewhere, global market gains can quickly lose their value because of the growing fears of more delays in the economic recovery; there are rising numbers of corona Virus cases making the second wave more unpredictable and dangerous.
“We have another 4-6 challenging weeks ahead of us in Europe since the virus spread could further accelerate when gatherings tend to move indoors during the autumn.” Nordea analysts wrote in a research note.
Investors will focus on the Brexit talks' final round of decisions this week.