European Shares Seen Opening On Firm Note
European stocks may open on a positive note Monday, with optimism about vaccine rollouts and central bank stimulus likely to offer some support.
The head of the EU drug regulator’s COVID-19 task force said on Sunday that AstraZeneca’s coronavirus vaccine had a favorable risk-benefit profile for all age groups and particularly for those aged over 60.
Meanwhile, as speculation mounts vis-a-vis the Wuhan lab leak theory, World Health Organization (WHO) chief Tedros Ghebreyesus has called on China to cooperate with the ongoing investigation into the origins of the COVID-19.
Asian markets struggled for direction in thin holiday trade as investors look forward to the Federal Reserve’s policy meeting this week for clues about whether the Fed will tweak its forecasts for interest rates or inflation, in light of the U.S. economy’s blistering recovery.
Gold slipped to its lowest in more than a week on dollar strength, while Bitcoin traded above USD 39,000 after Elon Musk said that Tesla will resume allowing bitcoin transactions when miners use more renewable energy.
Oil held near multi-year highs, underpinned by an improved outlook for demand backed by the lifting of travel curbs due to increased vaccinations.
Eurostat releases euro area industrial production data for April later in the day. Economists expect output to climb 0.4 percent sequentially, faster than the 0.1 percent rise in March.
U.S. stocks ended mostly higher on Friday as bond yields fell on dovish Fed and ECB talk, and a measure of U.S. consumer sentiment rose more than expected in early June.
The Dow inched up marginally as a bipartisan group of 10 senators unveiled an infrastructure spending plan.
The S&P 500 edged up 0.2 percent to reach a new record closing high, while the tech-heavy Nasdaq Composite gained 0.4 percent to its best closing level in over a month.
European stocks advanced on Friday despite lingering concerns about inflation. The pan European Stoxx 600 rose 0.7 percent.
The German DAX and France’s CAC 40 index both climbed around 0.8 percent while the U.K.’s FTSE 100 gained 0.7 percent.