European stock markets rose on Monday amid optimism around resilient economic growth, while investors awaited US inflation data for clues on the Federal Reserve’s policy outlook. The DAX index in Germany traded 0.3% higher, the CAC 40 in France climbed 0.3%, and the FTSE 100 in the U.K. rose 0.4%. At 2 AM Eastern Time (7 AM Greenwich Mean Time), the DAX futures contract in Germany was trading 0.7% higher, CAC 40 futures in France were up 0.5%, and the FTSE 100 futures contract in the U.K. increased 0.3%.
The American Petroleum Institute’s data revealed a U.S. crude oil stockpile of 10.51 million barrels for the week ending February 10, resulting in a drop in crude oil prices.[0] U.S. crude futures fell 1.1% to $78.86 a barrel, while the Brent contract fell 1% to $85.56. Brent crude fell 1.4% to $84.38 a barrel. American crude futures ended the day up $1.66, reaching a total of $79.72 per barrel, while Brent climbed $1.89, settling at $86.39 North Sea Brent crude-oil futures for the upcoming month decreased 0.7% to $85.80 per barrel.
European stock markets are anticipated to increase slightly at the start of Thursday’s trading, as traders analyze the most recent German inflation figures and the ongoing quarterly corporate earnings season. Data released Thursday showed that the German consumer price index for January, which was delayed due to technical issues, rose 1% month-on-month, exceeding expectations. However, the annual figure only increased to 8.7%, lower than the 8.9% anticipated.[1]
Last week, the European Central Bank increased interest rates by 0.5%, and gave an indication that another 0.5% rise will be seen next month.[1] Gold futures were largely unchanged, trading at $1,890.55/oz, while the EUR/USD rose 0.2% to 1.0729.[2] Reports of the Japanese government’s appointment of academic Kazuo Ueda as the next central bank governor caused the yen to strengthen considerably.[3]
According to the Energy Information Administration, United States crude oil stocks rose by 5 million barrels last week, reaching their highest level since June 2021.[1]
0. “Inflation Angst Seen Dragging European Benchmarks” RTTNews, 15 Feb. 2023, https://www.rttnews.com/3344093/inflation-angst-seen-dragging-european-benchmarks.aspx
1. “European stock futures higher; German CPI, Credit Suisse in focus By Investing.com” Investing.com, 9 Feb. 2023, https://www.investing.com/news/stock-market-news/european-stock-futures-higher-german-cpi-credit-suisse-in-focus-2998947
2. “European stocks edge higher; U.K. jobs data helps ahead of U.S. CPI” Yahoo Life, 14 Feb. 2023, https://www.yahoo.com/lifestyle/european-stocks-edge-higher-u-040042094.html
3. “Stocks slip, dollar gains on tighter policy outlook” TODAY, 10 Feb. 2023, https://www.todayonline.com/world/stocks-slip-dollar-gains-tighter-policy-outlook-2105091