European stocks are likely to open a tad lower on Monday, with U.S. politics likely to be in focus after U.S. House Speaker Nancy Pelosi said Sunday the House will proceed with legislation to impeach President Donald Trump.
With only days left in his presidency, Ms Peloci shared a plan to curb the president’s powers over his role in the violent storming of the Capitol.
Asian markets remain mostly lower, with Japan closed for a holiday.
The dollar strengthened and U.S. Treasury yields held firm as a disappointing jobs report raised expectations of more federal spending.
President-elect Joe Biden is due to announce plans for “trillions” in new U.S. fiscal stimulus this week, stoking a global reflation trade.
Fed Vice Chairman Richard Clarida said Friday he expects the central bank to maintain the pace of its asset purchases through the rest of 2021.
The sudden lift in bond yields undermined gold, while oil prices fell on profit taking after reaching their highest in nearly a year on Friday. Oil prices jumped around 8 percent last week after Saudi Arabia pledged to cut output.
In economic releases, Eurozone Sentix investor confidence survey results are due later in the session. Economists expect the corresponding index to rise to 0.7 in January from -2.7 in December.
Across the Atlantic, reports on consumer and producer prices, retail sales, industrial production and consumer sentiment are due this week.
Earnings will also be in focus with JP Morgan, Citigroup and Wells Fargo among the first companies to release fourth-quarter results on Jan. 15.
U.S. stocks closed at fresh record highs on Friday as President Trump finally conceded defeat and Biden promised relief efforts, offsetting data showing the first monthly job losses since April.
The tech-heavy Nasdaq Composite index rallied 1 percent, while the Dow Jones Industrial Average edged up 0.2 percent and the S&P 500 gained 0.6 percent.
European markets gained ground on Friday amid growing optimism about additional fiscal stimulus in the U.S., positive news on the coronavirus vaccine front and fairly encouraging economic data from Germany.
The pan European Stoxx 600 inched up 0.7 percent. The German DAX rose 0.6 percent, France’s CAC 40 index added 0.7 percent and the U.K.’s FTSE 100 edged up 0.2 percent.
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