Monday saw last week's positive economic news from the UK and US boost European investor confidence again. The German DAX 30 and Paris CAC 40 both made solid gains for the day of almost 3% each.
Tuesday's trading could not match Monday's in Europe, leading to slight falls, probably due to uncertainty in the US markets. The DAX 30 fell back slightly by 0.1% but the CAC 40 fell back over 0.5% by close of play although positive services sector growth from the US could have limited the fall.
Wednesday saw stocks back in the black by close of play on Wednesday, with all thanks going to renewed investor confidence. A few gains from blue chip stocks in the US gave European markets confidence, leaving the DAX 30 up by almost 1% and the CAC 40 up just above its opening level.
Thursday saw the European Central Bank leave interest rates alone at 3.25%, just as the Bank of England had kept the UK's interest rates at 4%. No surprises here for investors and the confidence remained, leaving the DAX 30 and CAC 40 to close up almost 1% each. Optimistic economic growth comments from Alan Greenspan, Chairman of the US Federal Reserve obviously helped markets along.
Friday saw European investors take the news of a reduction in US unemployment better than the UK and added it to the economic recovery news. Confidence reigned and markets pushed higher with the CAC 40 up by just short of 0.5% and the DAX 30 up by over 1%.