Irish stocks gain on Government’s accelerated reopening plans

An unexpected jump in US employment sent world equities surging on hopes that the global economy has started to recover from the coronavirus pandemic, pulling investors out of perceived safe havens such as government bonds and gold.

In the Republic, meanwhile, the Government’s plan to accelerate the reopening of the economy helped the market rise.

DUBLIN

The Iseq rose 1.91 per cent on Friday, a strong upward rise but still below European peers on the day.

The standout performers were Irish banks although there was no stock-specific news, and one trader said: "All of a sudden markets decided they liked Irish banks". AIB rose 10.38 per cent to €1.26, while Bank of Ireland rose 8.33 per cent to €1.88.

US equities rise as economic stimulus overshadows unrest

---

Oil prices rise ahead of Opec+ meeting on extended output cuts

---

Surfing the endless summer for risk sentiment

---

Stock market rally holds as investors cling to recovery hopes

---

Stocks that stand to gain from the accelerated reopening of the State's economy were also among the gainers. The State's largest hotel group, Dalata, rose 5.43 per cent to €3.88, while forecourt retailer Applegreen rose 1.52 per cent to €4.00.

It was a volatile day for airlines, with London-listed names making significant gains. Ryanair's rise was more muted, although the airline has had a strong run over the past weeks. It closed 0.7 per cent higher at €12.93.

C&C, the Bulmers-owner which is no longer listed in Ireland but has a substantial operation here, rose 11.2 per cent to £2.28 in London following the Government's announcements that bars will be fully open from July 20th.

LONDON

The blue-chip FTSE 100 and the mid-cap index both ended about 2.3 per cent higher, posting their best week in nearly two months.

EasyJet, cruise operator Carnival and Aer Lingus-owner IAG surged as a report said some European countries were keen to adopt transport corridors, letting British holidaymakers visit Mediterranean resorts without quarantining for 14 days on their return.

Carnival, which is slated to leave the FTSE 100 later in the month, also topped the index for the day with a 19.8 per cent gain.

Dundrum Town Centre co-owner Hammerson was the best weekly performer among British stocks, adding 86 per cent in its best week ever after it said its flagship destinations in England would reopen from June 15th.

Housebuilder Taylor Wimpey rose 1.7 per cent after it said it had seen a surge in interest in buying homes since its English sales centres and show homes came back on line.

EUROPE

The pan-European Stoxx 600 ended the day 2.5 per cent higher, while euro zone blue chip stocks jumped 3.8 per cent and the bloc’s lenders rallied 7.6 per cent for their best weekly gain since 2008’s global financial crisis.

The auto-heavy Germany Dax, meanwhile, is just 6.7 per cent away from hitting an all-time high.

Airbus rose 12.5 per cent after Australia's Qantas announced plans to reactivate plans to order planes.

German fashion house Hugo Boss was up 11.4 per cent after it confirmed ongoing talks for a new chief executive officer with Daniel Grieder, former head of Tommy Hilfiger Global & PVH Europe.

NEW YORK

US stock indexes jumped on Friday, with the Nasdaq Composite less than 1 per cent away from a record high, on hopes of a faster economic rebound from a coronavirus-led slump.

Boeing gained 14.4 per cent, the biggest boost to the Dow Jones index, on hopes of a pickup in air travel a day after American Airlines Group and United Airlines said they would boost their US flight schedule next month.

Vaccine-maker Novavax jumped 3.7 per cent after saying it would receive up to $60 million from the US department of defence to fund manufacturing of its Covid-19 vaccine candidate.

Tiffany & Co jumped 8 per cent after Reuters reported the French luxury goods giant LVMH was not seeking to renegotiate its $16.2 billion takeover deal after deliberating whether to do so. – Additional reporting: Reuters