Despite struggling for direction during much of the trading session, the major European markets closed higher on Monday as stocks found support past mid afternoon amid optimism the central banks will soon start reducing interest rates.
Several central banks, including the Federal Reserve, the European Central Bank (ECB) and the Bank of England (BoE), are scheduled to announce their monetary policy decisions this week. Some crucial economic data from the U.S., Europe and Asia are also due this week.
The BoE is expected to hold its Bank Rate unchanged at 5.25% for the third decision, but the focus will be on the MPC’s judgment of its progress against inflation and hints on the possible start of easing financial conditions.
The Fed is widely expected to leave interest rates unchanged, but traders are likely to focus more closely on the central bank’s accompanying statement and projections.
Reports on consumer and producer price inflation are also likely to attract attention in the coming days along with reports on retail sales and industrial production.
The pan European Stoxx 600 climbed 03%. Germany’s DAX gained 0.21% and France’s CAC 40 ended 0.33% up. The U.K.’s FTSE 100 edged down 0.13%, while Switzerland’s SMI advanced 0.53%.
Other markets in Europe ended mixed. Netherlands, Norway, Poland and Sweden ended higher. Belgium and Greece edged up marginally.
Austria, Denmark, Finland, Iceland, Portugal, Russia, Spain and Turkiye closed weak.
In the UK market, JD Sports Fashion, British Land Company, Hargreaves Lansdown and Rolls-Royce Holdings gained 2.4 to 3%.
ICP, IHG, Ferguson, J Sainsbury, Land Securities, WPP, ITV, M&G, CRH, Experian, The Sage Group, Melrose Industries, Antofagasta, Barratt Developments, Ashtead, Associated British Foods, Spirax-Sarco Engineering, Bunzl, Informa and Tesco gained 1 to 2%.
Glencore and Centrica dropped about 3.7% and 3.4%, respectively. TUI drifted down nearly 3%.
Standard Chartered, Rio Tinto, Burberry Group, Carnival, Vodafone, British American Tobacco and Easyjet ended lower by 1 to 2%.
In the German market, Sartorius rallied 2.6%. Qiagen, Siemens, Deutsche Telekom, BMW, Brenntag, Volkswagen, Henkel and Hannover Rueck gained 0.7 to 1.25%.
MorphoSys AG shares soared 35% after the company announced positive results from a Phase III myelofibrosis trial.
Puma ended lower by 4%. Zalando and Siemens lost 2.8% and 2.7%, respectively. MTU Aero Engines, Bayer and Porsche also ended notably lower.
In Paris, Publicis Groupe, Sanofi, Legrand, Saint Gobain, WorldLine, Unibail Rodamco and Michelin gained 1 to 2.7%.
Alstom, Pernod Ricard and Thales ended down 2.1%, 1.4% and 1.3%, respectively.
Major European Markets Close Higher On Late Buying
2023-12-11 17:22:48
