The Stoxx 600 panel -up index rose 1%. He had lost 0.9% on Friday after Trump unexpectedly asked for strong levies to the products of the European Union, saying that negotiations with the region did not advance enough enough.
Sunday, Trump extended the term of the tariffs from June 1 to July 9after the president of the European Commission, Ursula von der Leyen, said that the block of 27 countries needed more time to reach an agreement.
The Defense companies They were the ones that most promoted the European referential, with Rheinmetall and Leonardo winning more than 3% each and the aerospace and defense index progressing 1.7%.
These values also went up to the industrial goods and services 1.5%. The defense sectors and cars They helped German actions rise 1.7%, about a historical maximum.
The luxury papersvery exposed to the US market, they also advanced. Kering, LVMH and Richemont actions rose about 1% each, as well as the general index.
“Although it is good news that there is more time for negotiations between the EU and the US, the speed of the rebound suggests that investors may have become too optimistic about the path of commercial discussions,” said Mark Haefele, Investment Director of UBS Global Wealth Management.
The euro and the pound gained ground
In front of the new novelties around the tariff war, The euro reached a maximum of a month against the dollar this Monday. The European currency He got up to 0.55%, playing US $ 1418 for the first time from April 29. In its last price it advanced 0.16%, AU $ S1,1393, raising the profits to 10% so far this year.
The pound sterling He advanced 0.39%, at its highest level since February 2022, to end later with an increase of 0.17%, AU $ S1,3566.
Shelter coins such as Yen and the Swiss Franco They quoted down in the improvement of market confidence, but both were seen against the dollar.
Asia’s markets: how they closed
The actions in China and Hong Kong They closed down on Monday due to falls in the titles of the automotive sector, in the face of fears of a price war, and decreases in Apple suppliers for the possible US tariffs. At the close, the Shanghai compound index (.Sec) fell 0.1%, while the large CSI300 (.CSI300) large companies decreased 0.6%.
In Japan, the Nikkei 225 (.
Japanese government bonds also rebound, after an intense week in which the yields of superlargos bond reached record levels.
The Japanese superlargos bonds will be in the focus, with the attention placed on the inflation data that will be published this week, while investors try to anticipate the course of the monetary policy of the Bank of Japan.
As for raw materials, the prices of the Brent crude and the US WTI dropped both 23 cents, standing at 64.54 and 61.28 dollars respectively, while the gold yielded from a maximum of two weeks and quoted at $ 3.339 the ounce.
Trump’s last turns
Trump’s last turns in commercial policy reminded investors how quickly the circumstances can change. Analysts pointed out that many investors are moving capital from US markets to Europe and Asia, anticipating a possible recession in the US and a consequent global deceleration.
“Friday’s comments were another policy reminder and unpredictable and apparently incoherent decisions of Trump and his administration, “Commerzbank said in a note.
“Now a really toxic cocktail is being mixed for the US, composed of (1) an increasing risk premium to keep US active, (2) a trend of global investors towards a greater diversification of portfolio, and (3) an increasingly nationalist approach,” said a report by Seb Research, adding that they expect a depreciation of the dollar and a possible increase in interest in interest rates USA
High levels of debt and Asia bags
The high levels of debt in developed economies returned to the center of the debate after the reduction of the US credit rating by Moody’s and the weak debt placements in the United States and Japan last week. Inflation data is expected this week from Japan and Germany, in addition to price and services price figures in the US.
Source: Ambito
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