European stocks rise after US rate cut

European stocks opened higher today, rising for the second straight session the US Fed cut the interest rates for the second time this year, to preserve the US economic growth path, the bank also stressed the strength of the US economy and labor market.

As of 11:35 GMT, Stoxx Europe 600 Index rose by 0.4%, as it closed yesterday higher by 0.1%, its second daily gain as the market anticipated the US Fed rate decision.

The index rose today, to extend its gains for the second straight session, as most of the European markets and sectors rose.

The banking sector jumped by more than 1% as the US Fed presented weak evidence on its approach for the US rates during this year.

Yesterday, the Fed cut the lending rate to 1.75% from 2.00%which is the second rate cut since 2008 as expected to protect the US economic growth.

The US central bank stated that the cut is due to growing risks and weak inflation.

S&P 500 futures fell by 0.4%, as it closed higher by less than 0.1% yesterday on Wall Street.

Euro Stoxx 50 index rose by 0.5%, in France the CAC 40 rose by 0.5%, and Germany's DAX rose by 0.25%.

In London, the FTSE 100 rose by 0.75% to top the European gaining list, as the IG Group share rose by 9%, after the group announced that it expects revenue growth in 2020.