By Peter Nurse
Investing.com-European stock markets opened lower on Monday. Investors acted cautiously when looking for new clues, starting a week full of events.
At 2:05 am Eastern Time (0605 GMT), the German contract fell 0.1%, the French contract fell 0.2%, and the British contract fell 0.1%.
Major European indexes closed up sharply last week. Germany rose 1.7%, France rose more than 2%, and rose 1.3%, as strong Wall Street gains and China’s policy easing helped quell some recent concerns about global growth.
In other words, investors have many reasons to take a cautious stance this week.
The President of the European Central Bank said on Sunday that the central bank will update its monetary stimulus guidelines at the next meeting and that it may introduce new policies to support the European economy in 2022 to replace the current bond purchase plan.
Last week the European Central Bank changed its stance on inflation and may allow the CPI to rise above its 2% target if circumstances require it.
In addition to Europe, the United States is scheduled to release key inflation data for June later this week, and Fed Chairman Jerome Powell will testify in Congress on Wednesday and Thursday, which may provide clues to the central bank’s idea of shrinking.
In addition, China will release its GDP data for the second quarter on Thursday because they worry that the sudden easing of monetary policy last week may be disappointing.
The number of Covid-19 cases continues to rise in most parts of Asia, while the number of cases in the United States has been the highest since mid-May as the delta variant spreads in less vaccinated areas of the country.
This week Wall Street will also usher in the quarterly earnings season. Goldman Sachs (NYSE:), JPMorgan Chase (NYSE:) and PepsiCo (NASDAQ:) will release reports on Tuesday.
Back in Europe, after the American giant Nordstrom (NYSE:) announced that it had acquired a minority stake in four brands (including Topshop and Miss Selfridge) owned by the British online fashion company, ASOS (London Stock Exchange:) ) May become the focus of Monday. To attract young shoppers.
Elsewhere, given the increase in global Covid-19 cases and the failure of the Organization of Petroleum Exporting Countries and its allies to agree on production levels at the last meeting, oil prices fell slightly on Monday due to uncertainty in the industry.
However, prices are still high, and US officials report that US crude oil inventories have fallen sharply and gasoline demand has soared.
At 2:05 am Eastern Time, the futures trading price fell 0.2% to US$74.39 per barrel, while the contract fell 0.2% to US$75.37 per barrel.
In addition, it fell 0.5% to US$1,800.95 per ounce, while it fell 0.1% to 1.1868.
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