European Stock Futures Rise Before Italy’s Bond Auction
European stock-index futures climbed as investors awaited Italy’s first bond sale since Spain was offered as much as 100 billion euros ($126 billion) to bail out its banks. U.S. index futures rose, while Asian shares fell.
British Sky Broadcasting Group Plc (BSY) may decline after winning the bidding to show 116 English Premier League soccer matches starting in the 2013-14 season.
Futures on the Euro Stoxx 50 Index expiring this month advanced 0.4 percent to 2,145 at 7:12 a.m. in London. Contracts on the U.K.’s FTSE 100 Index dropped 0.1 percent. Futures on the Standard & Poor’s 500 Index expiring in September rose 0.4 percent. The MSCI Asia Pacific Index slipped 0.3 percent.
European stocks decreased 0.4 percent yesterday as borrowing costs increased at debt auctions in Germany and Italy.
Moody’s Investors Service yesterday cut Spain’s rating by three steps to Baa3 from A3, citing the nation’s increased debt burden, weakening economy and limited access to capital markets. Moody’s also lowered Cyprus’s bond rating to Ba3 from Ba1, attributing the downgrade to the increased likelihood of Greece leaving the euro area. The country’s government may have to give more support to Cypriot banks as a consequence.
To contact the reporter on this story: Tom Stoukas in Athens at email@example.com
To contact the editor responsible for this story: Andrew Rummer at firstname.lastname@example.org