Rising investor hopes that US Democrats and Republicans will be able to reach an agreement to raise the US debt ceiling, thereby avoiding a default, boosted US and European stocks on Thursday.
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“Confidence is growing that the melodrama in Washington is just political theater and that eventually a deal will be reached, as it has been so many times before,” said CMC Markets analyst Michael Hewson.
Republicans are demanding spending cuts as a condition for passing a debt ceiling bill, while Democrats want an unconditional debt ceiling increase. Both Republican and Democratic politicians have expressed optimism that a deal will be reached.
The Dow Jones Industrial Average rose 0.3% to 33,535.91 on Thursday, the Standard & Poor’s 500 rose 0.9% to 4,198.05, and the Nasdaq Composite added 1.5% to 12,688.84 points.
London’s FTSE 100 rose 0.3% to 7,742.30 on Thursday, Frankfurt’s DAX rose 1.3% to 16,163.36, and Paris’ CAC 40 rose 0.6% to 7,446. 89 points.
In electronic trading on the New York Stock Exchange, the price of WTI crude oil fell 1.3% to $71.86 a barrel on Thursday. “Brent” crude oil price on the London exchange fell by 1.4% to 75.86 dollars per barrel.
On the Dutch exchange “Title Transfer Facility” (TTF), the price of natural gas fell by 6.78% to 29.79 euros per megawatt hour on Thursday, reaching the lowest level in about two years.
The euro was down from $1.0840 to $1.0776 per euro on Thursday, the British pound was down from $1.2487 to $1.2408 per pound on Thursday, and the dollar was up against the Japanese yen from 137.68 to 138.68 yen per dollar. The value of the euro against the British pound was unchanged at 86.81 pence per euro.
2023-05-19 07:00:35
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