Warren Buffett“A public opinion poll is no substitute for thought.”
Adlin Sinclair“Success is a welcomed gift for the uninhibited mind.”
Global stock markets stage rally (AFP)
would remain near zero for some time, analysts said.
after the US central bank said it expected to hold “exceptionally low” rates “for an extended period” in order to nurse a still-fragile recovery.
Investor sentiment was also lifted after the Fed gave a rosier economic outlook and kept its key rate unchanged in a range of zero to 0.25 percent.
In early European trade on Thursday,
won 1.21 percent, Paris gained 1.08 percent and London jumped 0.87 percent.
“A strong start as the Fed said that interest rates will remain low for the time being — which has prompted a weaker dollar overnight and a subsequent rally in mining and resource stocks,” said Spreadex trader Arifa Sheikh-Usmani.
“Investors' recent fears over the fragility of the recovery seem to have eased slightly today as the tone of the Federal Reserves statement seems to indicate that economic support will remain in place for the time being.”
She added: “However, sentiment remains cautious and I would not be surprised to see people selling into today's strength.”
rallied, snapping a recent run of losses in the region, with Tokyo up 1.58 percent and
leaping 1.61 percent.
“A strong overnight session in Asia gives some hope to market bulls that the recent falls may be coming to an end,” added analyst Owen Ireland at
.
“Investor confidence appears to be fragile, so a strong performance will be welcomed, as investors digest the US
and US President Barack Obama's State of the Union address.”
sent global markets plummeting over the past week.
However, Obama buoyed sentiment with a pledge to make job creation a top priority in 2010, but added he would continue financial reform to fight against excessive speculation.
Investor nerves have also been rattled since it emerged several weeks ago that China wanted to rein in its booming economy which up to now has largely led the recovery from the worst global slump since the 1930s.
dealt another blow to confidence, dealers said.
In New York trade on Wednesday, the
had rebounded from early losses, rising 0.41 percent to 10,236.16 points, as component companies of the blue-chip index posted mixed earnings.