European stocks rise on budget decision

Traders and those learning how to trade saw European shares soar to potentially their best start to a year since 1998 today (January 31st) as many of the continent's states agreed to enforcing more stringent budgetary controls.

Stocks also advanced in the US and Asia as the world market responded positively to the possibility of a light at the end of the tunnel regarding the crisis in the eurozone, reports Bloomberg.

The Stoxx Europe 600 Index rose one per cent to 254.99, meaning the bellwether gauge has enjoyed a 4.3 per cent jump this year so far.

"Markets are in a risk-on mood and may just continue rising when events, such as the summit, reveal no new risks," said Alexander Kraemer, a cross-asset strategist at Commerzbank.

He added European leaders appear to have accepted the necessity of taking decisive action to end the continent's malaise.

The MSCI All-Country World Index also rose by 0.6 per cent as investors around the globe relaxed, the news provider noted.

Posted by Greg Secker