European bourses on the green following the positive stance of Merkel regarding new coalition

European Markets

Bourses in Europe were all in the positive territory on Monday’s closing bell after a good performance across Wall Street. Expectations that Germany will make a new government has also undermined the markets.

Chancellor of Germany Angela Merkel sounded more positive on reaching the agreement with the Social Democrats, just to avoid creating new elections.

Stocks from basic resources were the leading advancers as it rallied more than 1.5 percent on Monday’s closing bell. This is driven by the released news that suggested a deal between China and France. The European manufacturer of aeronautical products Airbus SE is currently reaching out to Beijing for a deal on the A380 for new customers.

Auto stocks were also one of the best performers by finishing 0.89 percent up. Meanwhile, Galapagos rose as high as 4.5 percent, following the released report that showed upbeat preliminary test results in an osteoarthritis study.

The European stocks benchmark Stoxx 600 was 0.27 percent up on the markets closing. The index touched its best level since August 2015 in early Monday. Looking at the rest of the European markets, the FTSE 100 in the United Kingdom didn’t follow the trend as it closed the day 0.36 percent lower. This came in after their Prime Minister Theresa May rearranged her cabinet members.

Dialog Semiconductor was also at the bottom of the European benchmark on Monday’s afternoon trade as it was 0.8 percent down, regardless of recovering from its recent declines. However, the blue-chip manufacturer had started the trade higher when its Q4 sales data were better-than-expected.


Leave a Reply

Your email address will not be published.