European stocks lead global rebound amid China holiday break

European stocks saw a rebound as China’s markets remained closed for the Golden Week holidays, following an impressive surge. The Shanghai Stock Exchange wrapped up its best week since 2008, with an 8.06% gain on Monday. Despite the closure of China’s markets, other major regions stepped in to maintain momentum. Both Japanese and European markets showed modest gains, helping to keep the market mood buoyant.

In Europe, the STOXX Europe 600 experienced a 0.20% rise, and the UK’s FTSE 100 climbed by 0.30% during early Monday trading. Investors turned their attention to the preliminary September inflation data for the Eurozone, which reported a figure of 1.8%, aligning with expectations. This figure came below the European Central Bank’s target of 2%, a fact that could bolster the likelihood of another rate cut from the ECB. Germany’s Covestro made headlines by leading the STOXX with a notable 3.7% rise, thanks to the announcement from Abu Dhabi’s state oil firm ADNOC regarding a €15.9 billion ($17.7 billion) takeover bid for the chemicals group.

In the United States, Friday saw a mixed day of trading for the major indexes. The Dow Jones Industrial Average edged up 0.04%, setting yet another new record, while the S&P 500 posted a 0.42% gain, and the tech-focused Nasdaq advanced 0.38%. Investors were left on edge following Federal Reserve Chair Jerome Powell’s comments, which hinted at continued interest rate cuts but provided little certainty regarding the timeline. Powell’s words initially spooked the markets, resulting in a brief drop across all three major indexes. However, the markets regained strength later in the day, erasing the earlier losses and pushing into positive territory.

Elsewhere, Japan’s Nikkei 225 recorded a 1.93% increase, showing solid performance as it picked up where China’s markets left off. The cryptocurrency market also saw movement, with Bitcoin rising 1.15% to trade at $63,939.20. Despite the mixed signals from the Federal Reserve, markets across regions seemed to adjust positively, finding stability amid a range of economic data and investor sentiment.

Even with China taking a break for the Golden Week, global markets demonstrated resilience, with Europe and Japan stepping in to lead gains. Investors are closely watching inflation data and central bank decisions, all of which continue to shape the ongoing market landscape.

Fidelity European Trust PLC (LON:FEV) aims to be the cornerstone long-term investment of choice for those seeking European exposure across market cycles.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Facebook
X
LinkedIn
Fidelity European Trust

More articles like this

Fidelity European Trust

European markets open strong as optimism rises

European stocks started the week with gains, driven by positive global market sentiment. In early trading, Germany’s DAX climbed by 0.7%, France’s CAC 40 saw a rise of 0.8%, and the UK’s FTSE 100 gained 0.4%.

Fidelity European Trust

Building a strong data economy for Europe’s future

The European Union is determined to establish a robust data economy as a foundation for its global competitiveness and digital independence. In the automotive industry, data is already transforming technologies, with innovations such as real-time traffic

Fidelity European Trust

European stocks begin the week with gains

European stocks rose on Monday, with the pan-European Stoxx 600 index up 1.2% by mid-morning in London. All sectors were in positive territory, led by construction and materials stocks, which gained over 2%. This upturn followed

Fidelity European Trust

Election week boosts European markets

European markets opened the week on a positive note, climbing on Monday after a slow start. Investors are keeping a close watch on the U.S. presidential election scheduled for Tuesday, with significant implications for markets across

Fidelity European Trust

European stocks hold steady amid improved market sentiment

European stocks remained largely unchanged as easing tensions in the Middle East brought some optimism, though declining oil prices exerted pressure on the energy sector. By mid-morning in London, the Stoxx Europe 600 Index had flattened

Fidelity European Trust

European stock market and the economic outlook

The European stock market has shown resilience despite global economic challenges in recent years. It continues to be a key focus for investors due to the region’s established financial infrastructure and the strength of its major

Fidelity European Trust

Eurozone retail sales show modest growth in August

Retail sales in the eurozone experienced a modest increase in August, showing a recovery after a stagnant performance in July. According to recent data from Eurostat, retail trade volumes in the euro area grew by 0.2%

Fidelity European Trust

European stocks climb amid global market struggles

European stocks saw an increase on Monday, defying the negative trends observed in both Wall Street and Asia-Pacific markets. By mid-morning in London, the pan-European Stoxx 600 index had risen by 0.57%, with most sectors and

Fidelity European Trust

A growing number of European businesses embrace AI

Over the past year, the adoption of AI by European businesses has grown by 32%, and this trend, if sustained, could add €600 billion in gross value added (GVA) to the European economy by 2030. This