Europe shares extend post-ECB rally, look to U.S. jobs data

viernes 6 de junio de 2014 07:22 GYT

* FTSEurofirst 300 up 0.4 pct, Euro STOXX 50 up 0.5 pct

* Euro zone peripheral indexes lead the rally

* Volatility index tumbles to 2007 levels

By Blaise Robinson

PARIS, June 6 (Reuters) - European stocks extended their rally on Friday, spurred by the European Central Bank's fresh measures to boost the region's recovery and as investors anticipated positive U.S. jobs data later in the session.

By 1100 GMT, the FTSEurofirst 300 index of top European shares was up 0.4 percent at 1,385.13 points. The euro zone's blue-chip Euro STOXX 50 index was up 0.5 percent.

The FTSEurofirst hit a 6-1/2 year high on Thursday after the ECB cut interest rates, launched a series of measures to pump money into the euro zone economy and pledged to do more if needed to fight off the risk of Japan-like deflation.

"It's a game changer from the ECB, but let's keep in mind that the impact on the real economy will take six to nine months," said Christophe Donay, head of strategy at Pictet, which has $446 billion in assets under management and custody.

"In the medium term, the decorrelation between the actions of Fed and the ECB will work in the favour of European shares, which remain cheaper than U.S. stocks and are poised to benefit from flow dynamics because global investors are still 'underweight' Europe at the moment," he said.   Continuación...