U.S. stocks followed Europe higher on Thursday after investors ventured into risky bets again with encouragement from some strong earnings and the dollar rose against the euro after remarks from Europe’s Central Bank chief fueled fears about the monetary union.
Oil prices stabilized after an early sell-off as investors returned their focus to the fundamentals of supply and demand as equity markets regained some lost ground.
The greenback rose against the euro after the ECB’s Mario Draghi reaffirmed that its 2.6-trillion euro ($2.97 trillion) asset purchase program will end this year and interest rates could rise after next summer even though the economic outlook has darkened and political turmoil looms in Italy.
While equity investors sought bargains and some were reassured by positive earnings and stronger technology stocks, they also voiced caution.
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