European stock
markets opened with strong gains Thursday as the Federal Reserve ended
months of uncertainty by raising US interest rates for the first time in
nearly a decade.
Frankfurt
and Paris both jumped by more than 2.0 percent, while outside the
eurozone London's main index won 1.6 percent compared with Wednesday's
close ahead of the Fed decision.
The strong opening eased off slightly shortly after the open.
At
about 0810 GMT, London's benchmark FTSE 100 index was up 1.3 percent at
6,141.7 points. Frankfurt's DAX 30 gained 1.9 percent to 10,663.3
points and in Paris the CAC 40 won 2.0 percent to 4,716.
"With
the uncertainty surrounding the Fed now cleared and panic not ensuing,
everything is now in place for a strong end to the year," said Craig
Erlam, senior market analyst at Oanda trading group.
Asian stock markets rallied for a second day Thursday and the dollar clocked up advances against most other currencies.
Wednesday's
widely expected move had been met with a surge in shares in New York,
as the US central bank reiterated its view that the world's number-one
economy is in rude health.
It
also brings to an end months of speculation and uncertainty that had
rattled world markets and fuelled concerns that the economy's recovery
was not as strong as thought.
The
Fed raised its benchmark federal funds rate, locked near zero since the
financial crisis, by a quarter point to 0.25-0.50 percent, saying the
world's biggest economy is growing solidly and should accelerate next
year to a respectable 2.4 percent pace.
By: AFP (London).
Review: Emerging Market Formulations & Research Unit, Flagship Records.
For The #FacebookTeam