European Markets steady despite Fitch downgrade for banks

Spread betting provider City Index takes a look at the financial activity shaping the markets on 14th October 2011.
The European Markets remained steady today (October 14th) in spite of ongoing problems in the banking sector.

Yesterday's Fitch Ratings saw BNP Paribas, Societe Generale and Deutsche Bank AG placed on a negative credit watch.

This saw share prices in the companies tumble with Societe Generale shares down 3.12 per cent while BNP Paribas SA fell three per cent as of 10:35 BST

Deutsche Bank fared slightly better, with a drop of 0.96 per cent.

Despite these figures, trading on the German DAX and French CAC 40 was positive with rises of 0.96 per cent and 0.85 per cent respectively.

The markets were buoyed in part by strong rises in automotive industry share prices, with BMW AG shares up 2.50 per cent.

This followed the announcement of a further expansion of the car giant's India operations and the news earlier this week that overall sales were up.

"The BMW brand reported worldwide sales of 128,446 vehicles in the month under review - exceeding last September's figure by 9.3 per cent," an official statement read.

Meanwhile, Renault shares rose 3.10 per cent on the CAC 40, as investor confidence continued to blossom following the announcement of a new $1.4 billion (£887.5 million) plant in Brazil.
Spread betting and CFDs are leveraged products which can result in losses greater than your initial deposit. Ensure you fully understand the risks.
Start spread betting: http://www.cityindex.co.uk/spread-betting/start-spread-betting.aspx
Start CFD trading: http://www.cityindex.co.uk/cfd-trading/start-trading-cfds.aspx
* Spread betting and CFD trading are exempt from UK stamp duty. Spread betting is also exempt from UK Capital Gains Tax. However, tax laws are subject to change and depend on individual circumstances. Please seek independent advice if necessary.
About City Index:
Today more and more individual traders are discovering the benefits of derivatives, and many of them are discovering them through a City Index trading platform.
As a group, we transact in excess of 1.5 million trades every month for individuals in over 50 countries worldwide. We provide access to a wide range of instruments including margined foreign exchange, CFD trading and, in the UK, financial spread betting.
We constantly look to widen the range of assets we offer, improve the performance of our platforms and expand the range of services we provide. The result is that our customers benefit from innovative trading tools with transparent pricing, competitive spreads, and a high standard of customer service and support. Visit http://www.cityindex.co.uk/ for more information

SOURCE : http://goarticles.com/article/European-Markets-steady-despite-Fitch-downgrade-for-banks/5502716/