European stocks rose for the fifth straight session on Thursday to hit all-time highs. Investors were comfortable with the signal from the Federal Reserve that it was in no rush to raise interest rates. The Bank of England kept its benchmark rate at a record low.
The pan-European STOXX 600 Index closed 0.4 percent higher after spending most of the day in positive territory after the Fed, as expected, said it would start cutting its monthly bond purchases in November with plans to finish them next year.
“What we’ve heard from the Fed is that next year central banks are going to let go of the accelerator, but they won’t hit the brakes,” Hugh Gimber, global market strategist at JP Morgan Asset Management, interpreted Thursday.
The European Central Bank also signaled Wednesday that it was in no rush to tighten monetary policy. Meanwhile, the Bank of England did catch investors by surprise. It kept its benchmark interest rate unchanged, hitting the British pound to half-year lows.
In Spain, Telefónica, with falls of -2.35 percent, and the banking sector, with joint reductions of -2.10 percent, weighed down Thursday’s session on the IBEX 35 and lowered the value of the general tone of the rest of European bags.
He was barely able to close in a draw with 9,039.40 points, or an additional 0.10 percent. During several moments of the day it lost the levels of 9,000 units. Grifols, with contractions of -2.19 percent, was another of the challenges of the day.