The FTSE and European stocks finished higher this Tuesday amid investor optimism around rate cuts by the Federal Reserve, European Central Bank and Bank of England next year and positive inflation data coming out of the Eurozone .
The FTSE 100 ( ^FTSE ) rose 0.3% to close at 7,635 points, while the CAC 40 ( ^FCHI ) advanced 0.1% to 7,577 points. In Germany, the DAX ( ^GDAXI ) climbed 0.6% to 16,746. Europe’s Stoxx 600 ( ^STOXX ) climbed 0.4%.
Across the pond, US stocks ticked up , with an eighth weekly win still within reach as investors stayed upbeat on the prospect of interest rate cuts despite warnings those hopes are overdone.
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The Dow Jones ( ^DJI ) rose 0.6% to 37,529 points. The S&P 500 ( ^GSPC ) rose 0.5% to 4,762 points and the tech-heavy NASDAQ ( ^IXIC ) climbed 0.5% to 14,975.
The US Federal Reserve now sees 75 basis points of rate cuts coming in 2024, which accounts for one more rate cut than had been projected in September. That helped drive a rally in US stocks with the Dow reaching a record and the major indexes posting a seventh-straight winning week.
In Asia, Tokyo’s Nikkei 225 ( ^N225 ) climbed 1.4% to 33,219 points after the Bank of Japan maintained its super-loose monetary policy, while the Hang Seng ( ^HSI ) in Hong Kong retreated 0.7% to 16,512. The Shanghai Composite ( 000001.SS ) finished flat at 2,932 points.
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The pound ( GBPUSD=X ) was slightly higher against the dollar, with sterling trading at $1.2756.
Sterling ( GBPEUR=X ) was also higher against the euro, trading at €1.1616.
Meanwhile, Brent crude ( BZ=F ) was higher, trading at around $79 per barrel as oil tankers avoid the Red Sea following heightened attacks by Iran-backed Houthi militants in the region which have disrupted international shipping routes.
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Apple and Android .