The Malta Independent 14 July 2020, Tuesday

Markets climb on economic optimism

Wednesday, 24 June 2020, 14:26 Last update: about 19 days ago

US stocks closed higher on Tuesday with the Nasdaq breaking another record close as investors remained optimistic over the ability of the US to respond to the rising COVID-19 cases. The Dow Jones Industrial Average gained 131.14 points, or 0.5 percent, to 26,156.10 while the S&P 500 index rose 13.43 points, or 0.4 percent, to 3,131.29. The Nasdaq Composite Index climbed 74.89 points, or 0.7 percent, to close the session at an all-time high of 10,131.37.

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European markets also climbed on the back of hopes the global economy will continue to recover amidst easing lockdown measures. The pan-European Stoxx 600 index surged 1.3 percent with Germany's DAX jumping 2.1 percent and France's CAC 40 climbing 1.4 percent. The UK's FTSE gained 1.2 percent.

Maltese markets meanwhile ended lower with the MSE Equity Total Return Index closing down 0.77 percent at 8,227.026 points with no companies posting gains. BMIT Technologies led the gains with shares down 2.86 percent at €0.476, followed by GO Plc which dropped 2.37 percent to €3.30.

Fiat Chrysler gets government support

Fiat Chrysler's Italian unit received approval from Italian authorities to receive a 6.3 billion euros state-backed loan from Intesa Sanpaolo, paving the way for the largest crisis loan to a European carmaker. The request for state support has sparked controversy because FCA is working to merge with French rival PSA and the holding for the Italian-American carmaker is registered in the Netherlands. FCA's global brands include Fiat, Jeep, Dodge and Maserati.

FCA's Italian division has tapped Rome's COVID-19 emergency financing schemes to secure a state-backed, three-year facility to help the group's operations in the country, as well as Italy's car sector in which about 10,000 businesses operate, weather the crisis triggered by the coronavirus emergency.

This article was issued by Peter Petrov, Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are 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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