LONDON: European shares rose after a shaky start and the dollar edged up on Wednesday, while the 10-year U.S. Treasury yield fell from 10-month highs, helped by policymakers pushing back against talk of the Fed tapering its support.
After Asian equities saw modest gains, European shares opened lower then rose slightly, with the pan-European STOXX 600 up 0.2% on the day at 0918 GMT.
MSCI world equity index, which tracks shares in 49 countries, was up 0.2%, edging back towards all-time highs, and MSCI’s main European Index was up by a similar amount.
China recorded its biggest daily jump in COVID-19 cases in more than five months, despite four cities being in lockdown, and the Dutch government said it would extend lockdown measures on Tuesday.
Investors are closely tracking the discussion around tapering – that is, the Fed’s possible easing of monetary stimulus.
Several Federal Reserve policymakers, including Loretta Mester, Esther George, James Bullard and Eric Rosengren pushed…