World stock markets and oil prices rallied yesterday, building on the previous day’s recovery sparked by the European Central Bank hinting at more eurozone stimulus.
Equities and crude began rebounding on Thursday after the ECB said there were “no limits” to the stimulus measures it might take to boost the eurozone economy. 
Sentiment was boosted further yesterday by a report that said Japan’s central bank was considering similar moves. 
European stocks finished strongly with Paris climbing 3.1% at 4,336.69 points and the exchanges in oil-dependent Norway and Russia shooting up 4.5% and 9.4% respectively. 
London’s  FTSE 100 was up  2.2% at 5,900 points and Frankfurt’s DAX 30 was up 2.0% at 9,764.88 points at close.
Wall Street also pushed higher. 
Oil prices also extended gains to climb above $31 a barrel, having soared more than four% on Thursday on the back of Draghi’s comments and a report showing US inventories rose less than expected last week. 
However, the two contracts remain around 12-year lows owing to a supply glut and weak demand. 
Earlier this week, WTI fell below $27 a barrel and Brent went under $28. 
With oil prices rallying, energy companies saw their share prices rocket on Friday. Royal Dutch Shell jumped 5.4% higher and BP won 3.1%. 
However shares in Italian oil exploration and engineering firm Saipem plunged 20% in Milan after the company announced a 3.5bn capital hike would be at a 37% discount. 
The positivity also seeped into currency markets as investors shifted out of assets considered havens such as the yen. 
Russia’s battered rouble meanwhile bounced back after the jump in crude oil prices, recovering ground a day after it slumped to an all-time low against the dollar. 
The nation’s energy-reliant economy has been pushed into recession by tumbling oil prices and Western sanctions over Ukraine.
The week’s trading has seen volatile swings, with top European stock markets plunging by 3.5% Wednesday on fears over global economic weakness. 
After a sell-off that has wiped several trillion dollars off global markets so far this year, the prospect that two of the world’s biggest central banks were ready to finally step in gave investors something to cheer about. 
Yesterday, Japan’s respected Nikkei business daily reported that the central bank is weighing up its own plans to fend off the threat of deflation that has been exacerbated by the oil crisis. 
The latest developments spread some much-needed confidence around trading floors after the worst-ever start to a year.