2015.01.1204:47:40UTC+00European stocks recover from worst year starter in seven years

European stocks rose after the worst beginning in a year since 2008. The stocks are taking in the positive US jobs data.

The Stoxx Europe 600 Index advanced by 0.5% to 339.72 in early trade in London. Last week, the regional benchmark index shed a total of 1% for the week. It was the second consecutive week of retreat for the gauge. UK’s FTSE 100 climbed by 0.34% or 22.28 points to 6,523.42. Germany’s DAX Index and France’s CAC 40 Index soared by 0.83% or 79.82 points to 9,728.32 and 0.78% or 32.46 points to 4,211.53 respectively. Spain’s IBEX 35 Idx added 0.60% or 58.40 points to 9,777.40.

European stocks are set to track the Asian market movement which swung from gains and losses following the release of the US nonfarm payrolls which indicated a mixed reading of US economy health.

Health-care shares led the rally with Shire Plc adding 1.4% while Hikma Pharmaceuticals Plc rose by 2.1%.

The US jobs data was better than what had been anticipated, however, it also showed that the hourly rate decreased. A total of 252,000 payrolls for the previous month following November’s 353,000 figure. The unemployment rate is down by 5.6%. Oil price extended declines which market participants believe to put more pressure in the European region.

 On January 22, the European Central Bank will be holding a meeting where it is expected for the central bank to implement a full-scale quantitative easing or QE.