European stocks surge as crude prices rise
On Friday, European stocks edged up, making their way towards weekly advance as market participants’ appetite for risk recovered after a sell-off driven by worries regarding the upcoming US interest rate hike.
The StoXX Europe 600 went up 1.2%, trading at 337.79. The benchmark was led by energy stocks as well as financial and basic materials shares. Unicredit SpA managed to grow 5.1% after posts that the Italian lender considers a possibility of selling some of its assets.
On Thursday, the pan-European index dipped 1.1% after the minutes from the Fed’s gathering, which disclosed the policy makers’ readiness to increase rates in June.
On Friday, energy stocks earned as crude prices kept rebounding from a one-week minimum. Energy producer Tullow Oil PLC dared to grasp 4.6%, while SBM Offshore NV surged 1.5%.
Oil is definitely shooting back higher. The number one commodity prompted to settle the jitters on the equity markets. Maybe the market requires something more convincing to justify the upcoming rate hike in June.