Business and Finance Business and Finance
Fri, September 14, 2012

European Bank Stocks Surge as Germany Expected to Back ESM


Published on 2012-09-14 06:01:47 - Market Wire
  Print publication without navigation


September 14, 2012 08:20 ET

European Bank Stocks Surge as Germany Expected to Back ESM

Five Star Equities Provides Stock Research on Barclays and Royal Bank of Scotland Group

NEW YORK, NY--(Marketwire - Sep 14, 2012) - European financial stocks have rebounded sharply in the last month as concerns regarding the regions debt crisis seemed to have subsided, at least for the mean time. The iShares MSCI Europe Financials Sector Index Fund (EUFN) -- which is designed to measure the combined equity market performance of the financial sector of developed market countries in Europe -- has gained over 13 percent in the last month. Five Star Equities examines the outlook for companies in the Foreign Banking Industry and provides equity research on Barclays PLC (NYSE: [ BCS ]) and Royal Bank of Scotland Group PLC (NYSE: [ RBS ]).

Access to the full company reports can be found at:

[ www.FiveStarEquities.com/BCS ]
[ www.FiveStarEquities.com/RBS ]

The Euro rose to a four-month high on increased optimism of Germany backing the Euro zone bailout fund and possible stimulus from the Federal Reserve. Later this week Germany's Constitutional Court is expected to approve the European Stability Mechanism, Europe's EUR 500 billion fund. Germany is Europe's largest economy, and would have the most at risk if countries default forcing the European Central Bank to take losses.

"That just removes the uncertainty about the bailout fund which is euro-positive and the consensus now is that the German court will back the fund without incident," said Brian Kim, RBS Securities currency strategist.

Five Star Equities releases regular market updates on the Foreign Banking Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at [ www.FiveStarEquities.com ] and get exclusive access to our numerous stock reports and industry newsletters.

Barclays recently appointed Antony Jenkins as new Chief Executive Officer. "It's clear we have made some serious mistakes in the last few years and failed to keep pace with our stakeholders' expectations. But we have a tremendous opportunity to change Barclays," Mr. Jenkins said. The Banks reputation has taken a major hit in recent months with their involvement in the LIBOR scandal.

The RBS group is a large international banking and financial services company. From its headquarters in Edinburgh, the Group serves over 30 million customers in the United Kingdom, Europe, the Middle East, the Americas and Asia. Shares of the bank have gained roughly 20 percent in the last month.

Five Star Equities provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. Five Star Equities has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at: [ www.FiveStarEquities.com/disclaimer ]


Contributing Sources