German stocks touch record peak; euro rebounds

[LONDON] European stocks rallied on Monday on optimism over quantitative easing in the eurozone, with Frankfurt topping 12,000 points for the first time, but the euro recovered after hitting another 12-year dollar low.

Germany's leading stock market index smashed through the psychologically important level, one week after the European Central Bank began its 1.14-trillion-euro (S$1.7-trillion) bond-buying stimulus.

Frankfurt's benchmark DAX 30 soared 2.24 per cent to a new record close at 12,167.72 points. The DAX has gained 24 per cent since the beginning of the year.

London's FTSE 100 index rose 0.94 per cent to close at 6,804.08 points, and the CAC 40 in Paris climbed 1.01 per cent to 5,061.16 points.

AFP