Global shares lifted on Wednesday, as investors digested positive indications from the US Federal Reserve about the direction of interest rates this year.
DUBLIN
In Dublin, the ISEQ All Share Index Euronext Dublin rose by 1.30 per cent on Wednesday, to close at 9,633.35.
AIB gained 5.43 per cent to close at €4.58, after the bank reported its strongest financial performance in history in 2023, with net profit jumping by 170 per cent to €2.058 billion.
Among the other banks, Bank of Ireland gained 3.02 per cent to €8.73, and Permanent TSB fell by 0.63 per cent to €1.59.
Ireland’s two listed home builders both saw gains, with Cairn Homes rising by 3.05 per cent to €1.55, and Glenveagh Properties gaining 2.28 per cent to €1.26.
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Food company Glanbia fell by 1.71 per cent to close at €17.22, while peer Kerry Group lost 0.37 per cent to close at €80.90.
Building materials company Kingspan rose by 1.63 per cent to €83.80, and Ryanair gained 1.73 per cent to close at €20.23.
Meanwhile, packaging giant Smurfit Kappa fell by 2.33 per cent to €38.08.
LONDON
UK shares lifted on Wednesday, as investors assessed the spring budget statement delivered by chancellor of the exchequer Jeremy Hunt.
The export-heavy FTSE 100 Index gained 0.43 per cent to 7,679.31, while the more domestically focused FTSE Mid-Cap 250 Index rose by 1.05 per cent to 19,473.22.
Mr Hunt said inflation would fall below the Bank of England’s 2 per cent target in “just a few months’ time”, while forecasting a 0.8 per cent growth in the economy this year after entering a recession in the second half of 2023.
Shares in British pub groups such as Marston’s, Fuller Smith & Turner and J D Wetherspoon all rose more than 1 per cent after Hunt announced the extension of the alcohol duty freeze till February 2025.
ConvaTec jumped 6.1 per cent after the medical products and technologies firm raised its midterm forecast for revenue growth.
Shares of Capita fell by 22.45 per cent after the British outsourcing group reported an annual pretax loss and wider cash outflows on costs related to a cyber incident last year and some business exits.
British Airways owner IAG gained 4.79 per cent on a JP Morgan rating upgrade, while Legal & General slid 0.86 per cent after the life insurer missed expectations for 2023 operating profit.
EUROPE
European shares extended gains on Wednesday, as investors took comfort from Federal Reserve chairman Jerome Powell’s comments on inflation and interest rates, and looked ahead to a policy decision by the European Central Bank on Thursday.
The pan-European STOXX 600 Index rose by 0.39 per cent to 498.20, while the French CAC 40 Index gained 0.28 per cent to close at 7,954.74 and the German DAX Index rose by 0.06 per cent to 17,726.65.
Symrise surged 6.22 per cent after the German flavour and fragrance maker beat core profit estimates for 2023, helped by a cost management programme.
DHL Group, however, dropped 6.25 per cent after the German logistics giant forecast its 2024 operating profit above pre-pandemic figures, but the outlook fell short of market consensus amid weaker global trade.
Swedish eyewear company Synsam tumbled 10.76 per cent after a discounted block trade.
NEW YORK
Wall Street followed world shares higher on Wednesday after Mr Powell provided assurances that while inflation is not quite tamed, rate cuts can be expected this year.
All three major US stock indexes gained, as Mr Powell said that a softening US labour market is a precondition for bringing inflation down to the Fed’s 2 per cent annual target.
US-listed shares of China’s JD.com advanced after the ecommerce group reported fourth-quarter revenue above estimates and upsized its share repurchase programme.
Shares of cryptocurrency-linked companies such as Coinbase Global and MicroStrategy gained as bitcoin rebounded, after already reaching an all-time high on Tuesday.
CrowdStrike Holdings soared after the cybersecurity technology company forecast annual results above Wall Street estimates, lifted by strong enterprise spending on cybersecurity to counter rising online threats. — Additional reporting Reuters.
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