Sunny times for European stocks.

Many data point to a recession in Europe, but on Monday European stocks were successful.
Investors are willing to take some more risky investments again. This results in a growth for the stock of mining and materials. The more easy credit conditions worldwide helped the raise the equity on long term, but it could not prevent a further slowdown of the economy.
Interbank decreased their three-month lending rate to 2.86%. That’s the lowest rate since mid-September.

On the other hand, the oil and car sector lose some of their gains. Especially the car sector who sold 40% less cars in October than in the same month last year.
On the currency market, the dollar is still becoming stronger. For 1.26 dollar you get 1 euro.

I think people are getting little by little their confidence back in financial products. But still the crises isn’t over yet. For people who are willing to take some risk on the stock market, this could be a great time. Stock are low and they are raising every day. I think the car sector could get problems if the demand for cars stays as low as it is on the moment. The drop of the oil is a good fact.

source: http://www.forbes.com/markets/2008/11/03/briefing-europe-update-markets-equity-cx_ll_je_1103markets25.html