European shares increase
Euro stocks rose when news of India wanting to triple defense exports came out. On the other hand, Castellum’s quarterly results were bad, and so there was a drop in real estate stocks.
The pan-European STOXX 600 saw a gain of 0.34%, while shares of Swedish defense equipment maker SAAB rose 5.93%.
Shares in Airbus, Thales, and Rheinmetall saw an increase of 1.14% to 1.52% after India said it wants to triple its annual defense exports.
Limiting the upside for European stocks was a 0.63% drop in the real estate sector index.
Stockholm-listed Castellum fell 2.92% as the company disclosed plans for a rights issue.
Recent dovish rhetoric from the U.S. Fed has dampened investor hopes that the central bank’s aggressive tightening cycle will soon end.
The U.S. 10-year Treasury note yield increased to 3.754%, while the short-term two-year Treasury note traded at 4.53% for the past few sessions.
All eyes are now on Tuesday’s U.S. inflation numbers, with markets hoping for further cooling consumer prices in January.
Europe’s oil and gas sector index saw a decline of 0.63% as crude oil prices pulled back from recent gains.
Stock futures mixed after S&P 500 has worst week
U.S. stock futures flickered as Wall Street rebounded from its worst week of the year, and looming inflation data gave investors pause.
Futures tied to the S&P 500 rose 0.13%, while futures for the Dow Jones Industrial Average fell at about the same pace, or about 30 points. Contracts on the tech-heavy Nasdaq Composite rose 0.42%.
Next week, investors will get earnings from headliners, including Airbnb, Coca-Cola, DraftKings, Paramount Global, and Deere.
On Friday, US stocks had their worst weekly performance since 2023 so far. The S&P 500 closed 1.14% for the week; the Dow Jones Industrial gained 0.25%, and the Nasdaq Composite closed 2.43%.
It’s a week full of economic data on Wall Street, with the consumer price index due on Tuesday and the producer price index due on Thursday.
Economists forecast headline CPI rose 0.54% month-on-month in January – a notable jump from the latest period – while the annual headline number is expected to ease to 6.24% from 6.52% the previous month.
