A sharp rebound from the Dow Jones ensured its European peers had the confidence to build on their early gains, while the pound held onto its optimistic growth.
The stabilisation of US Treasury yields allowed the Dow Jones to come out of the open with all guns blazing. The index added around 240 points after the bell, rocketing back towards 25800 having at one point touched 25350 on Monday.
This levelled up the gains across the pond. The DAX, which actually started Tuesday down by 0.4%, climbed 0.6%, allowing the German index to cross 11400; the CAC, meanwhile, rose 0.8%, pushing it back towards 5300. The FTSE struggled to match the same kind of growth as its peers, instead nudging less than 20 points higher, a move that did nevertheless lift it above 7200.
The UK index’s comparatively meagre increase came as the pound broadly held onto its own gains following Jacob Rees-Mogg’s claim that MPs’ options are gradually being narrowed to May’s deal or no Brexit.
Matters were further complicated by news that the DUP now view a long extension as preferable to May’s withdrawal agreement, alongside reports that the PM could face up to 20 ministerial resignations if MPs aren’t allowed a free vote on Wednesday. Sterling read most of these developments as positive, climbing 0.3% against the dollar and 0.4% against the euro.
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