On Monday, a gauge of Asia-Pacific stock indices has been witnessing a scintillating winning run, while a slew of European shares’ futures had also been trading broadly higher after wrapping up a solid last week with mild losses, as a Biden victory had fleshed up investors’ hope of a US monetary aid in a near-term outlook.
Apart from that, prospects of a Democratic-controlled House alongside a Republican-led Senate, which in effect would likely to hinder major policy changes, had added to further bullish wing to investors’ hopes. On top of that, as investors appeared to have brushed aside the glooms over US-election associated uncertainties, Frankfurt’s DAX futures were trading 0.74 per cent higher, while London’s FTSE 100 futures had been up by 0.85 per cent on early Asia-Pacific trading hours.
Besides, French CAC 40 futures climbed as much as 1 per cent just hours after markets had opened and Madrid’s IBEX 35 futures were trading 0.81 per cent higher.
European stocks’ futures open sharply higher after strong week
In point of fact, a slew of European stock indices had wrapped up Friday’s market marginally lower, as investors were awaiting a likely Biden victory which in effect had taken the shine off a 7 per cent rally last week.
In tandem, since a re-imposition of lockdown measures in a raft of European economies had weighed heavily on investors’ sentiments apart from a week-end profit-taking wave, the regional pan-European STOXX 600 had wrapped up Friday’s market down by 0.2 per cent, snapping a five-day long streak of gains that marked up the index’s largest weekly percentage rise in more than five months.
Quoting statistics, on Friday’s European market wrap-up, European markets finished mostly mixed with Frankfurt’s DAX and French CAC 40 winding down the day 0.70 and 0.46 per cent lower respectively. Though, London’s FTSE 100 had managed to curtain the day 0.07 per cent higher.
Meanwhile, referring to a week-end profit-taking wave in the European money markets, a Chief Market Analyst at CMC Markets, Michael Hewson wrote in a client note over the weekend, “For now, financial markets don’t appear too concerned, however it would still seem prudent to take some money off the table as we head into the weekend”.