- Title: European shares rise as markets see Hillary Clinton as first TV debate winner
- Date: 27th September 2016
- Summary: FRANKFURT, GERMANY (SEPTEMBER 27, 2016) (REUTERS) EXTERIOR OF FRANKFURT STOCK EXCHANGE WIDE OF TRADING FLOOR VARIOUS OF TRADERS AT DESKS DAX BOARD TRADER AT DESK DAX BOARD TRADERS IN FRONT OF SCREENS DAX BOARD TRADER AT DESK INDEX BOARD TRADER AT DESK PAN OVER INDEX BOARD (SOUNDBITE) (German) HEAD OF ANALYSIS OF CAPITAL MARKET AT BAADER BANK, ROBERT HALVER, SAYING: "Mrs. Clinton won the points over Donald Trump in the first TV debate. We have known Mrs. Clinton for 20 years. She was secretary of state, she was the wife of a U.S. president. That means that if she were to become president, there is a certain amount that we already know. Whereas with Donald Trump, we don't know what to expect. He has put forward a lot of bizarre suggestions. He most likely also has a different idea of the global economy, of free trade which will unsettle the rest of the world. So the markets will be calmer if Clinton gets it. But still even if it is Donald Trump, and there would of course be certain shock waves and numbness, the markets will revive. Because even a Donald Trump can't completely ignore the global order." VARIOUS OF TRADERS AT DESK INDEX BOARD (SOUNDBITE) (German) HEAD OF ANALYSIS OF CAPITAL MARKET AT BAADER BANK, ROBERT HALVER, SAYING: "The banks have to react, including the Commerzbank, to the actual situation out there. There is barely any interest business, we have an economy that isn't really running smoothly. Competition in the consumer banking sector is cutthroat and unfortunately this will necessitate financial reciprocation and that will unfortunately lead to redundancies." TRADER AT DESK INDEX BOARD TRADING FLOOR INDEX BOARD WIDE OF TRADING FLOOR
- Embargoed: 12th October 2016 10:01
- Keywords: markets USA election debate DAX Germany
- Location: FRANKFURT, GERMANY
- City: FRANKFURT, GERMANY
- Country: Germany
- Topics: Currencies/Foreign Exchange Markets,Economic Events
- Reuters ID: LVA00151CD5E5
- Aspect Ratio: 16:9
- Story Text: European markets rose on Tuesday morning (September 27) as Democrat Hillary Clinton was perceived by financial market participants to be the winner of the first U.S. presidential debate, only to reverse course by mid-morning as weakness in banks, led by another drop to record lows for Deutsche Bank, once again weighed on markets.
"Mrs. Clinton won the points over Donald Trump in the first TV debate. We have known Mrs. Clinton for 20 years. She was secretary of state, she was the wife of a U.S. president. That means that if she were to become president, there is a certain amount that we already know," said Baader Bank analyst Robert Halver.
"The markets will be calmer if Clinton gets it. But still even if it is Donald Trump, and there would of course be certain shock waves and numbness, the markets will revive. Because even a Donald Trump can't completely ignore the global order," he added.
A CNN poll of viewers showed 62 percent thought Clinton won the debate on Monday, with 27 percent for Trump. Many investors appear to see Clinton as the preferred candidate, while few are sure what a Trump presidency might mean for international trade or the domestic economy.
However, the market lost some ground after the European Oil and Gas index fell 0.6 percent, the worst sector performer, as prices of crude oil dropped following a rally of more than 3 percent in the previous session.
Euro zone banks also erased gains to trade flat. Deutsche Bank hit a new record low after tumbling more than 7 percent in the previous session when a German magazine said Chancellor Angela Merkel had ruled out state assistance for the bank.
Commerzbank is planning to cut around 9,000 jobs over the coming years as Germany's second biggest lender pushes ahead with a restructuring plan, Handelsblatt reported on Monday, citing unnamed sources in the finance industry.
Squeezed by negative European Central Bank (ECB) interest rates, German banks have been seeking ways to boost revenue by passing on costs to corporate customers and increasing fees for retail depositors, but profit margins remain thin.
That leaves cost cutting high on the agenda.
"The banks have to react, including the Commerzbank, to the actual situation out there. There is barely any interest business, we have an economy that isn't really running smoothly. Competition in the consumer banking sector is cutthroat and unfortunately this will necessitate financial reciprocation and that will unfortunately lead to redundancies," Halver said.
The Frankfurt-based bank employs more than 50,000 people. - Copyright Holder: REUTERS
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