Spain agrees to bail-out plan, specifics to surface soon – Part 2

The US stock market also showed a promising start to the current week after the news received from across the ocean. Though the trading is still to commence on Monday, the futures showed a prosperity of 1 percent. Dow Jones industrial average futures gained 130 points. Nasdaq composite futures rose 28.50 points. S&P 500 futures climbed 14.2 points.

Japan stock market also showed a positive sign. Nikkei 225 rose 1.9% to 8,616.79. The Euro saw an increase in its value for the first time in the month to 1 percent, $1.2637.

The investors are also seemingly pleased over the news that a bail-out for Spain is in order. Though the specific details are still to be announced by the Spanish government, the mere agreement to receive the plan is a welcome in local and foreign stock markets.

iShares MSCI Spain Index, the exchange-traded fund tracking the Spanish stock market rose to 2.5 percent after hearing the news. The US stock markets also saw a profitable day ending the week as the most money earning week of the year. Dow Jones industrial average and S&P 500 grabbed the biggest gains of the year at 3.6 and 3.7 percent, respectively.

For electronics companies, Spain is one of the biggest markets in the continent. Spaniards have a taste in the likes of Samsung and Apple. Though Apple is already on the fast lane in stock market, the upcoming Worldwide Developers’ Conference (WWDC) from June 11 through June 15 is also giving a beforehand boost to its stock. The APPL shares rose 1.5 percent to $580.32. Apple is expected to announce new iOS and Mac OS X products at the event, though the new iPhone 5 is nowhere near an official launch.

The banks heavily invested in the Spanish markets also showed a profitability in the stock market. JP Morgan Chase and Wells Fargo both saw gains of 2.7 and 0.8 percent in their respective share prices. Spanish banks trading in the US markets also saw a good rise in their stocks. Banco Santander climbed 2.9% to $6.11 on Friday, as BBVA rose 1.7 to $6.43.

Short URL: https://www.newspakistan.pk/?p=25394

Posted by Usman Khalid on Jun 11 2012. Filed under Business, Europe, World. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.