U.S. Stocks in Motion | European bank stocks rise broadly in premarket trading; Deutsche Bank (DB.US) up nearly 7%

Zhitong Finance APP has learned that on Wednesday, European bank stocks rose broadly in premarket trading, with Deutsche Bank (DB.US) and Banco Santander (SAN.US) up nearly 7%, while Banco Bilbao Vizcaya Argentaria (BBVA.US), Barclays (BCS.US), and HSBC Holdings (HSBC.US) rose more than 5%. Analysts believe that the core drivers of the strong rebound in European bank stocks were the clarity of the election results, the release of earlier deleveraging pressure, and the decline in bond yields, which together pushed the risk discount on bank stocks to narrow. The Democratic sweep of the U.S. Congress weakened market bets on further expansion of U.S. military spending, but boosted optimistic expectations among European bank stocks for an improvement in the financing environment and credit outlook.