London — Japan’s Nikkei jumped to a near two-year high on Tuesday and European stock markets built on their biggest one-day gain in two months as central bankers gave a tempered message about growth and the chances of rises in interest rates. Bank of England (BoE) governor Mark Carney, fresh from a meeting in which three colleagues on the bank’s policy committee voted for higher rates, knocked 0.5% off Britain’s pound by saying "now was not the time" to adjust borrowing costs. Similarly, in a speech late in US time on Monday, Chicago Federal Reserve president Charles Evans said it may be worthwhile for the US central bank to wait until year-end to decide whether to raise rates again. After jitters on hi-tech stocks in June, that leaves markets confident that major central banks will not be tightening the flow of cash that has kept markets rising for eight years, at a time when growth globally looks solid. "Companies are in aggregate in robust health, and with all the cash from quant...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.