European markets open for closing, data, earnings, G-7, Ukraine
LONDON – European stocks rose on Monday, continuing a positive trend at the end of last week’s trading.
The pan-European Stoxx 600 index increased by 1.1 %% in early trading, with core resources jumping 3.7% to lead gains as all sectors and major stock markets entered positive territory.
In terms of individual stock price movements, Dutch-based technology investor Prosus jumped more than 11% after announcing a plan to gradually sell its 28.9% stake in Chinese software giant Tencent.
The higher trade on Monday comes after the European blue chip index closed up 2.6% last Friday, marking its best day in more than three months.
But despite the positive end to the trading week, last week was marked by more volatile trading as investors assessed the risk associated with rising inflation and fears of an economic recession.
Central banks around the world have already taken steps to combat inflation, which has been driven by rising energy and food costs, not a small part driven by the war in Ukraine.
The prospect of more aggressive interest rate tightening by central banks has frightened markets and created fears of a recession, something US Federal Reserve Chairman Jerome Powell told Congress last week was an “opportunity”[ads1]; when he reiterated that the central bank is “strongly committed” to bringing down inflation.
Overnight, US stock futures rose slightly Monday morning after a sharp rise last week from this year’s sharp fall, while stocks in the Asia-Pacific region traded higher,
Elsewhere on Monday, investors will be looking for more updates from the Group of Seven leaders’ summit. US President Joe Biden joined the leaders of the world’s richest democracies, including Canada, Britain, Germany, France, Italy and Japan, for the three-day summit that begins on Sunday, with Ukraine and the global economy at the top of the agenda.
As G-7 leaders gathered in Germany, the Ukrainian capital, Kyiv, was once again hit by Russian rocket attacks, several months after Russian forces withdrew from the city to focus on eastern Ukraine, where they have made significant progress. last weeks.
