Europe's STOXX 600 hits record high on global recovery optimism

The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, March 31, 2021. REUTERS/Staff

(Reuters) – Europe’s benchmark equity index hit a record high on Tuesday, recovering all of its pandemic-driven losses as investors bet on a speedy global economic recovery, spurred by bumper stimulus spending and COVID-19 vaccination programmes.

European traders returned from a long weekend to push the continent-wide STOXX 600 index 0.9% higher at 436.16 points, surpassing its previous life-high of 433.90 points set in February 2020. It has climbed more than 60% from virus-induced lows hit last year.

The German DAX rose 1.0% to add to its recent record-setting rally, France’s CAC 40 was up 0.8% and UK’s FTSE 100 jumped 1.3%.

Wall Street’s main indexes also notched all-time highs on Monday after data pointed to a strong U.S. labour market recovery and services sector activity, helping lift investors’ mood even as coronavirus cases spike globally. [.N]

Swiss bank Credit Suisse inched up 0.4% after sharp losses last week as it announced an estimated loss of 4.4 billion Swiss francs ($4.7 billion) from its relationship with Archegos Capital Management.

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