DailyFX European Wrap: The Market Mood In Europe As Investors Await Trump
The market mood in Europe is rather subdued as investors await US President Donald Trump’s speech to congress. Global markets have been soaring ever since November last year largely on promises from Mr Trump of enormous spending packages and tax cuts but now the world awaits the detail. And nerves are mounting that it’ll be a buy the rumour sell the fact situation but if he delivers – we may well witness more market euphoria.
One industry that is already benefiting after President Donald Trump announced plans to raise spending by 10% - is the defense sector. Defense shares are also gaining in London today after GKN – the global engineering group, reported better than expected profits and forecast further growth in 2017. GKN shares are 6.2% higher at 364p, their highest level since June 2015.
Greggs, which is famous for its sausage rolls and pasties, reported a robust set of earnings after the introduction of healthier choices such as salads which has helped out its balance sheet. But on the falling side was Money Supermarket.com after the company today warned that revenues would fail to meet last year’s levels.
Over in France, the economy grew by 0.4% in the last three months of 2016 as expected – overall the French economy grew by 1.1% last year.
Looking ahead to Wednesday there’s Australia’s GDP, manufacturing PMI data due from China, Germany, France, the EU and UK. And earning reports from ITV, Man Group and Best Buy.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.