Premarket: China’s stimulus-led stock rally pulls Asia and Europe higher; oil falls

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Premarket: China’s stimulus-led stock rally pulls Asia and Europe higher; oil falls
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U.S. futures surge behind Micron results

European shares followed Asia higher on Thursday, driven by news of aggressive economic stimulus from China and a fall in oil prices on a report that Saudi Arabia is preparing to abandon its unofficial price target of $100 a barrel.

He added that as the readout said there were new situations and issues, it “suggested time is tight and the task is urgent.” European energy stocks, down around 3%, were the only sector to be well in the red. Elsewhere the combined impact of the stories was good for everything from tech stocks in Europe and Asia to European luxury shares and national bourses from Spain to South Korea.

That caused a knee-jerk strengthening in the Swiss franc against the dollar and euro, but that did not hold, and it was last at 0.9461 to the common European currency. <EURCHF=EBS “I don’t think the reaction will be excessive, but the direction will be there,” said Jeff Ng, head of Asia macro strategy at SMBC, referring to Friday’s data release. “If prices are sticky, then maybe that will slightly dampen expectations for a 50-basis-point .”

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