FxWirePro: DAX and FTSE at new all-time high as investors pour money at record pace after French election
Source: FxWire Pro - Commentary / 15 May 2017 04:10:33 Eastern Standard Time
Despite global ransomware attacks across 74 countries around the world and another ballistic missile test conducted by Pyongyang, the German benchmark stock index DAX and the UK benchmark stock index FTSE 100 reached new all-time highs on Monday. DAX rose by almost half a percent to trade at 12831, while FTSE100 rose 0.3 percent to trade at 7460.
One of the major reasons fuelling stock prices in Europe is the risk appetite that improved sharply after the independent candidate and the leader of the ‘En Marche’ movement Emmanuel Macron beat Marine Le Pen of the Front National party by 30 percent margin. The investors are now confident on Europe as Nationalism promising the breakage of the European Union and the Eurozone was thwarted at least for another five years in France.
According to calculations by Bank of America Merrill Lynch (BofAML) based on EPFR data, last week saw the biggest weekly inflow in the European equities that amounted to $6.1 billion at least since 2000, when the data collection began at EPFR. Data from Lipper shows that the inflow was the biggest since 1992. French stocks received $1.7 billion inflow, while German stocks received $2 billion.© FxWire Pro 2018. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.