European stocks closed higher on Tuesday, buoyed by monetary
decisions in the United States, and following better performance by Asian and
Pacific stock markets.
The dollar recovered from its heavy losses against the euro,
and crude prices, which had traded below $ 30 a barrel, returned to full gains.
Wall Street opened with some optimism, following the worst
drop since 1987 that it experienced on Monday.
In Asia, the Sydney stock market had regained strength and
closed with a rise of 6%, and the Tokyo stock market halted its four
consecutive falls to close almost in equilibrium.
In Europe, the day went back and forth, with green
prevailing in the first exchanges on Tuesday, but the trend quickly reversed.
At the end of the day, the markets breathed again.
Frankfurt rose 2.3%, Paris 2.8%, London 2.8%, Madrid 6.4%
and Milan 2.2%.
"Asia gave signs of life," after reports of a
significant revival plan in the United States, in the wake of measures taken in
Japan, France, New Zealand or Germany, said Neil Wilson, analyst at
Markets.com.
"As investors faltered again, the Federal Reserve
launched a critical intervention in the market," said analyst Connor Campbell
of Spreadex.
The New York Federal Reserve, tasked with seeing to it that
markets have sufficient liquidity, announced a massive new injection of $ 500
billion into the money market.
The Fed already brutally cut its main interest rate to 0%
-0.25% and a $ 700 billion liquidity injection on Monday.
The UK announced £ 330bn in government-backed loans to
businesses, and Spain £ 100bn.
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