BLBG:European Stocks, Spanish Bonds Rise On Draghi As Dollar Slides
Stocks and Spanish government bonds rallied after European Central Bank President Mario Draghi said policy makers will do whatever is needed to preserve the euro. The dollar slid and commodities reversed a decline.
The Stoxx Europe 600 Index gained 0.9 percent as of 11:41 a.m. London time and Standard & Poor’s 500 Index futures climbed 0.5 percent. Spain’s two-year note yield tumbled 40 basis points to 6.02 percent and the euro appreciated 0.4 percent to $1.2210 as the dollar weakened against all but two of its 16 major peers. The S&P GSCI gauge of 24 commodities rose 0.2 percent after falling 0.7 percent.
Draghi said during a speech in London that it’s within the mandate of the central bank to tackle “premia” on government bonds when they “hamper the functioning of the monetary policy transmission channel.”
To contact the reporter on this story: Paul Dobson in London at pdobson2@bloomberg.net
To contact the editor responsible for this story: Justin Carrigan at jcarrigan@bloomberg.net
