European Markets Tread Carefully Amid Inflation Concerns, ECB Watch
european stock markets exhibited caution today as investors braced for key inflation data releases from the US and awaited signals from the European Central Bank (ECB). The FTSE MIB of Milan, the CAC 40 of Paris, and the DAX 30 of Frankfurt all reflected this hesitancy. Meanwhile, Oracle‘s stock surged 36% – its best session since 1992 – propelled by optimism surrounding its artificial intelligence ventures, elevating founder Larry Ellison to the position of world’s richest man.
The cautious market sentiment stems from uncertainty surrounding the trajectory of interest rates. US inflation figures due later this week will heavily influence the Federal Reserve’s monetary policy decisions, with potential ripple effects across global markets. Concurrently, investors are closely monitoring the ECB for indications of when it might begin to lower interest rates, a move widely anticipated but currently lacking a firm timeline.
In Milan, Buzzi Unicem soared, leading gains on the FTSE MIB. Currency markets saw the Euro holding steady against the dollar,trading near 1.17. Oil prices weakened, with Brent crude at $67 a barrel and WTI above $63. Natural gas remained stable at €33 per Megawattora on the amsterdam platform, while gold edged higher, trading above $3,600 per ounce.
Asian markets closed higher, with the Nikkei index in Tokyo reaching a record high, rising 0.92% to 44,372.50 points,driven by technology and energy stocks. The broader Topix index gained 0.22% to 3,147.76 points.
