Tech rebound lifts markets | Calamatta Cuschieri

European markets were in the green on Tuesday, as a leap in British inflation to a four year high sent the pound higher

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Calamatta Cuschieri
14 June 2017, 9:30am
Apple Inc. on Tuesday announced that it will be issuing a second green bond to finance clean energy for $1 billion
Apple Inc. on Tuesday announced that it will be issuing a second green bond to finance clean energy for $1 billion
European markets were in the green on Tuesday, as a leap in British inflation to a four year high sent the pound higher, while investors kept watch on the political drama continuing to unfold in the wake of last week’s general election. Investors also kept a keen eye on the Fed meeting starting later in the day that could offer clues about the central bank’s monetary policy plan.

It was a similar situation in America as markets traded higher with financials trading higher and technology stocks in recovery mode after a selloff in the previous sessions. The Dow Jones advanced to hit a record high, with Goldman Sachs and Apple contributing the most gains.

Tuesday movers

Deutsche Lufthansa saw its shares trade in positive territory after Credit Suisse raised its rating on the German aircraft carrier to neutral from underperform.

But Merlin Entertainment shares were in the red after the theme park operator posted its earnings update.

Shares on London Stock Exchange Group were sailing higher on the back of the exchange operator’s bullish prediction for its outlook between now and 2019, despite Brexit talks and collapse of a merger with its German rival.

Elsewhere, shares in fashion label Ted Baker were in the green thanks to a rise in sales.

Tech shares back on song

A rise in technology shares lifted global markets on Tuesday, after staging a rebound following a two day decline.

Apple Inc. announced Tuesday that it will be issuing a second green bond to finance clean energy. Its latest bond comes less than two weeks after President Donald Trump decided to pull the US out the Paris climate accord, an international pact to curb greenhouse gas emissions signed by almost 200 countries. On Tuesday, the iPhone maker issued a $1 billion green bond to fund renewable energy generation. Shares of Apple were up 0.50% on Tuesday.

Staying in the sector, shares of Facebook were up 1.52% and Amazon added 1.15%.

Fed in sight

Investors kept an eye on the Federal Reserve as the central bank kicked off a two-day monetary policy meeting on Tuesday, and wraps up Wednesday with a press conference with chairperson Janet Yellen. Investors largely expect the central bank to raise interest rates by a quarter point as market expectations for a June rate hike were 99.6%.

Investors will also look for clues on how the Fed plans to unwind its massive $4.5 trillion balance sheet.

Disclaimer:

This article was issued by Rebecca Naudi, Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article is being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.

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