The ECB is set to deliver its monetary policy decision, European stocks rise, oil prices climb, and China posts upbeat export data. Here are four things to know in the market on Thursday, December 8.
1. The ECB Will Deliver its Monetary Policy Decision
The ECB will conclude its final meeting of 2016 today. The central bank is largely expected to extend its quantitative easing program beyond the March 2017 deadline. Market players are expecting a six-month extension to be announced.
The central bank will likely also discuss the impact of Italy’s referendum vote.
The ECB’s monetary policy decision is due later today, with ECB President Mario Draghi speaking shortly after in a press conference.
2. European Stocks Rise
European stocks were higher ahead of the ECB’s decision. The CAC 40, DAX, FTSE MIB and FTSE 100 were all higher on Thursday.
The euro gained as well, climbing to 1.0788 against the dollar. The greenback was broadly lower, with the dollar index falling 0.21% to 100.08.
Elsewhere, the MSCI Asia Pacific Index rose 0.8%. Japan’s Topix index ended the day 1.1% higher.
3. Oil Prices Climb
Oil prices were higher on Thursday, still riding higher on news of OPEC’s agreement to cut output. But investors remain skeptical that the planned cuts would be enough to lower the global supply glut, as new data shows an increase in stockpiles.
Brent futures were up 70 cents to $53.70 per barrel. U.S. crude gained 59 cents to trade at $50.36 per barrel.
4. China Posts Upbeat Export Data
China posted an unexpected 0.1% gain in exports, putting an end to a 7-month decline. A cheaper yuan helped spur exports.
China’s imports also climbed at an annualized rate of 6.7% in November.
Exports are expected to continue increasing in 2017, but U.S. trade policy may threaten growth.
