Shares in Europe to start on higher note as trade war concerns ease
Shares in Europe are set to start the week on a higher note with investors digesting weekend developments in U.S.-China trade talks, according to CNBC.
The FTSE 100 is seen up by 51 points at 7,824; and the CAC 40 is expected to open up by 22 points at 5,632; according to IG. The German and other European markets are closed for a public holiday.
In Asia, markets were higher as immediate fears over a trade war between the U.S. and China eased. This followed comments from U.S. Treasury Secretary Steven Mnuchin that both countries are putting the trade war “on hold” as they try to reach a compromise. His comments also sent U.S. stock futures higher.
Meanwhile, political instability in Italy seems to be coming to an end with a power-sharing agreement between the left-wing Five Star Movement and the right-wing Lega. Both parties are due to present their deal to the country’s president later on Monday.
However, such a government could raise concerns across the euro zone due to planned higher spending. French Finance Minister Bruno Le Maire warned Sunday that Rome needs to respect European spending rules, according to the Financial Times.
In earnings, Ryanair reported a 10 percent increase in full-year profit after tax. The company reiterated Brexit concerns and reported a pessimistic outlook for 2019. There are no major data releases on Monday.
