European stocks poised to start the week positively as markets remain buoyed by Fed cut

Holly Ellyatt@HollyEllyatt

LONDON — European stocks are expected to start the week in positive territory as global markets continue to react positively to the U.S. Federal Reserve’s interest rate cut last week.

The U.K.’s FTSE index is seen opening 46 points higher at 8,245, Germany’s DAX up 87 points at 18,810, France’s CAC 40 up 40 points at 7,359 and Italy’s FTSE MIB up 169 points at 33,821, according to data from IG.

Global markets continue to trade higher following the Fed’s 50-basis-point cut last week, its first cut in four years. Asia-Pacific markets were mostly higher overnight as investors digested monetary policy decisions from Japan and China as well as the Fed’s sharp cut.

Dow futures were near flat Sunday night after enthusiasm for last week’s interest rate cut propelled the blue-chip index to a record closing level.

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In Europe Monday, preliminary French, German and U.K. purchasing managers’ index data will be in focus. There are no major earnings releases.

Source : cnbc