German DAX unchanged on the day
- German DAX, unchanged
- France’s CAC, -1.1%
- UK’s FTSE 100, -1.7%
- Spain’s Ibex, -1.2%
- Italy’s FTSE MIB, -1.8%
- Portugal’s PSI 20, -1.0%
The report says that euro area officials are ready to let Croatia and Bulgaria into the ERM-2 mechanism, in which it would allow both countries to adopt the euro as their currency in the next three years.
If you take a look at the chart below you can see that the Nasdaq has a high blended forward P/E ratio just around the 10 mark compared to the other major indices listed. The forward P/E ratio uses future earnings guidance rather than trailing figures. For a run down on the different types of P/E check out this article here.
Now the reason for the Nasdaq’s high p/e ratio is that technological stocks have raced higher on the hopes of increased tech spending, Working from home, spending on software and hardware, and increased moves towards digitalisation are all expected to boost profit hopes of the Nasdaq.
Japanese stocks close higher, following sentiment from Wall Street yesterday, but gains have been tempered with after Tokyo reported a daily record of coronavirus infections – just before the government will relax further restrictions starting from tomorrow.