On Tuesday, the 11th of June 2019, a majority of European stock exchanges had rounded off the day in an affirmative territory, as Germany’s trade-sensitive DAX was driven higher following release of a US-Mexico border deal, meanwhile traders’ optimism of fresh stimulus on China’s slowing economy had added to further bullish bias.
On Tuesday’s (June 11th) market wrap-up, the regional Pan-European STOXX had wrapped up the day at its highest level since May 17th, almost entirely buoyed by gains of mining companies, chemicals alongside auto stocks.
Coming back after a Whit Monday Holiday, Germany’s DAX had added 0.9 percent, mostly catalyzed by the gains of luxury car maker BMW, Daimler alongside 2018’s best-seller Volkswagen. Adding that fresh stimulus from Central Bank of China following its shrinking import data could improve market sentiment further, a senior investment director for European equities at Aberdeen Standard Investments, Will James said, “The Bank of China came out with some measures for stimulus and therefore some of the more cyclical stocks are bouncing off oversold levels.
All these stocks had a challenging May and one of the reasons for the markets’ delayed reaction is quite a lot of markets in Europe were closed yesterday”. Aside from that, London’s FTSE 100 had posted a gain of 0.30 percent, while Madrid’s bank heavy IBEX had been a slowcoach following reveal of Morgan Stanley client note that slashed Spanish banks’ profit estimates further for 2019 and 2020.