European stocks, on the brink of a correction last month, are heading for their best week of the year after the European Central Bank boosted stimulus.
The Euro Stoxx 50 Index has climbed 3.3 percent in the past four days and is poised for a fourth weekly gain after the ECB cut its three main interest rates and said it will start buying assets to fight low inflation and increase economic growth. The gauge has risen 8.9 percent since a five-month low on Aug. 8, following a 9.3 percent retreat over seven weeks.
Even with the gains, European shares are more attractively valued than their American counterparts, according to Pierre Mouton of Notz, Stucki & Cie. in Geneva. In the U.S., three rounds of bond buying helped the Standard & Poor?s 500 Index almost triple as corporate profits jumped to records.
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