Global markets have rallied in the last 24 hours, with European equities starting Thursday’s session on a high note and overnight trading on Wall Street topping all-time highs following news of France’s upcoming €100 billion stimulus package.

On Thursday, President Emmanuel Macron outlined the features of a new investment program intended to support France’s economic recovery following the coronavirus’s devastation. 

According to Bloomberg, the “France Relaunch” stimulus plan, which has a price tag of about $118 billion US dollars, contains a range of provisions covering tax reductions, wage subsidies, and financing for environmental initiatives.

The news powered France’s CAC 40 index 1.6% higher in morning trades, surpassing the other major European benchmarks. In London, the FTSE 200 rose 08%, the DAX in Germany jumped 1.4%, Spain’s IBEX 35 by 1.8%, and the FTSE MIB in Italy by 1.1%.

“Fuelled by hopes of stimulus stateside, and actual stimulus on the continent, the European markets surged out of the gates on Thursday,” SpreadEx financial analyst Connor Campbell told Yahoo Finance UK.

Wall Street also advanced in late trading, with the S&P 500 beating new levels after rising 1.5% to close at 3,580. The Dow also reached new peaks since the start of the pandemic, gaining 1.5%. Meanwhile, the Nasdaq ended the day with a modest 0.9% increase.

New coronavirus vaccine developments helped drive shares’ performance. AIB senior economist John Fahey observed that “Investor sentiment was in a positive mood yesterday, supported in part by COVID-19 vaccine newsflow.”

According to a report from the New York Times published on Wednesday, the Center for Disease Control and Prevention (CDC) alerted health authorities throughout the US to plan for a vaccine as early as November. 

In Asia, markets remained mixed. In Japan, the Nikkei progressed 0.9%, but China’s Shanghai Composite and Shenzen Component both fell 0.6%. In Hong Kong, the Hang Seng index shed 0.8%, while the ASX 200 in Australia rose by 0.8%.

US markets are preparing for a level start to the day on Thursday following the night’s activity. S&P 500 and Nasdaq futures dipped a respective 0.1% and 0.3% during early trades. Dow Jones futures stayed flat.

Jim Reid, a strategist at Deutsche Bank, wrote in an early client memo, “Attention today will turn to the release of the services and composite PMIs from around the world.” 

He added that Asia’s overnight PMI figures featured “no nasty data surprises.” The data indicates that China is still seeing a slowdown in its economic recovery, while markets in Japan and Australia continued to falter, which corresponded with analysts’ predictions.

In currencies, the US dollar continued to climb back from its recent decline, making progress relative to the euro and sterling. Throughout the past few months, the greenback has steadily fallen. 

In a Thursday note, Fahey remarked that “The dollar has regained some ground over the past 24 hours. This was despite a mixed bag of results from yesterday’s data.”

In London, the pound fell 0.4% against the greenback, dropping to $1.3293 during early trades. The euro dipped 0.3%, reaching $1.1819.


  • Williams-Grut, Oscar. “European Stocks Climb as France Unveils €100bn Stimulus Plan.” Yahoo! Finance, Yahoo!, 3 Sept. 2020,