European Stocks Rise As USD Recovers Versus EUR

European shares started the week strongly on Monday, buoyed by a weaker euro, while the dollar rose after upbeat jobs data on Friday bolstered investor confidence in the strength of the U.S. economy.

Wall Street looked set for modest opening gains ESc1 1YMc1, according to index futures. Earlier, Asian shares edged lower as investors looked to Chinese economic data due late this week which is expected to show the world’s second-largest economy is still sluggish.

Crude oil prices fell towards their lowest levels of the year after OPEC failed to agree on output targets that could cut a global glut.

Investors are caught between the European Central Bank’s moves last week to stimulate growth and inflation, which disappointed many, and next week’s U.S. Federal Reserve policy meeting, at which interest rates are expected to rise for the first time since 2006.

The pan-European FTSEurofirst 300 stocks index .FTEU3 rose 1.5 percent, boosted by healthcare stocks and as a weaker euro lifted exporters. Germany’s exporter-driven DAX .GDAXI added 2.2 percent. European shares closed at three-week lows on Friday after the euro soared in reaction to Thursday’s ECB decision.

Via Reuters

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.