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24.12.2021 03:28 PM
The pre-holiday mood also had a positive impact on European stock indices

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European stock indicators closed higher in yesterday's trading. The general indicator of the STOXX Europe 600 region added 1%, the indicator of the French CAC 40 exchange increased by 0.77%, the German DAX – by 1.04%, the UK FTSE 100 indicator - by 0.43%, the indicator of the Spanish IBEX 35 exchange – by 1.2%, and the Italian FTSE MIB - by 0.7%.

The first and main reason for the positive mood of investors is the reduction of tension in the world regarding the spread of a new type of coronavirus, which turned out to be less dangerous than previously thought. This is confirmed by the research of scientists, as well as the fact that the number of hospitalizations of people with omicron is significantly lower than with previous varieties of COVID-19. This, in turn, gives investors hope that the new strain will not have a strong impact on the global economy, as states will not introduce additional restrictive measures.

Oil also rose by 1% in price, and the euro strengthened slightly against the dollar.

According to statistics from Germany, released this week, the cost of imports last month increased by 24.7% compared to the same period last year. This figure was higher than the October level of 21.7%, as well as the expectations of analysts who predicted that import prices would rise by 22.3%.

In the United Kingdom, automobile production fell by 28.7% last month. A total of 75.8 thousand cars were produced. This figure was the lowest in the last 37 years.

Amid the growing optimism of investors, the value of securities of companies related to the tourism sector has increased. Thus, the share prices of International Consolidated Airlines rose by 2%, and easyJet and Wizz Air - by 2.9% and 2%, respectively.

Ryanair securities gained 0.4% in price, although the company reported that due to the spread of a new strain of coronavirus and the introduction of additional restrictions, it expects higher financial losses.

Against the background of rising oil prices, the value of shares of BP Plc (by 1%), Shell (by 1.1%), Glencore (by 0.7%) increased.

The Irish company Flutter Entertainment PLC announced an upcoming major deal to acquire Italian Sisal for 1.62 billion pounds, as a result of which its shares gained 2.8% in price.

Anastasia Kravtsova,
Analytical expert of InstaForex
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