Von der Leyen introduced recovery plan and stocks grew

The European Commision’s plan on recovery has been positively accepted by financial markets. On Wednesday, Ursula von der Leyen introduced a rescue plan for seven upcoming years in the European Parliament and stocks began to rise.

EU Commission

Investors have perceived the EU and the eurozone differently. While STOXX Europe 600 Index grew in 0,2% on Wednesday, its sub-index connected to the eurozone titles grew in more than a percent. And during the afternoon, the progress signaled that the growth could have been even higher.

Banking houses shares profited from Von der Leyen’s speech the most. The overall euro zone banking index has grown in almost 5%. Spanish banks rose from 2-5% and banks in Italy added up 2,6%. Attention is focused on banking sector of southern EU member countries as local banks haven’t fully recovered from 2009 financial crisis yet. For now, the proposal by European Commission on 750 billion euro plan has calmed investors down. Upcoming days will show whether the calmness remains.


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