Bloombergs European Headquarters in london. Im francine lacqua. But that is back in focus after janet yellen said she is ready to raise Interest Rates this year. The Federal Reserve chair said she intends to let the labor market run hot for a while to heal the lingering scars of the Global Economic crash. Lets check in on how the markets have been responding. Mark, they seem to be pleased to have clarity. Mark clarity is the buzzword. After the muddled message last week, theres clarity. Janet yellen yesterday paving the way for a rate hike in 2015, giving a sense of certainty. Investors love that. Risk assets are rising. Have a look at the msci. Before today, it had fallen for five consecutive days, falling every day since the Federal Reserve kept Interest Rates unchanged last thursday. We got a bounce back today. European stocks are rising. The dollar is gaining. Gold is falling as well. Emerging markets, asian stocks swinging between gains and losses. The certainty has given investor
Welcome to the pulse. We are live from london. Im manus cranny. Lets get into those numbers with mark. Mark, it is a mess on the composite and a miss on the services. Mark interesting because growth momentum in the euro area could pick up this month after new orders rose at the quickest pace in a year according to the latest market economic data. The purchasing Managers Index gauging Economic Activity in the from 53. 6 in september. That is below the october 23 estimate of 54. It is well above the 50 mark that divides expansion from contraction, and a measure of new order growth rose to 53. 6 from 53. 3. This confirms the euro Area Recovery is proving resilient to a slowdown in emerging markets despite this slide in Energy Prices and a stronger euro dampening inflation. The ecb will decide in december to its it needs to add qe program. Mario draghi spoke yesterday in frankfurt saying they will look at the need to stimulate stimulus. Growth momentum could pick up after new orders rose i