European close: Germany jumps, erasing yesterday’s decline

Optimism has arrived in Germany following the election and yesterday’s proposed changes to the fiscal regime that could unleash huge amounts of deficit spending.

Closing changes:

• Stoxx 600 +1.0%
• German DAX +3.55%
• France CAC +1.85%
• UK FTSE 100 flat
• Spain IBEX +1.5%
• Italy’s FTSE MIB +2.0%

The big gain in German stocks wasn’t quite enough to erase yesterday’s decline, highlighting the intense volatility in financial markets this week.

This article was written by Adam Button at www.forexlive.com.