LONDON — European stocks are expected to start the new trading week broadly higher on Monday.
The U.K.’s FTSE index is seen unchanged, Germany’s DAX up 0.12%, France’s CAC 40 up 0.1% and Italy’s FTSE MIB up 0.12%, according to data from IG.
It’s a quiet day on the data front in Europe on Monday, although Turkish growth data and EU unemployment figures will be released.
Regional stock markets closed lower last Friday as traders monitored European and U.S. inflation data and assessed the likelihood of the U.S. Federal Reserve cutting interest rates at its next meeting in September. Fed Chair Jerome Powell stoked expectations for a cut in a speech widely interpreted as dovish-tilting. The Fed next meets on Sept. 16-17.
Meanwhile, Asia-Pacific markets traded in mixed territory overnight as investors assessed China’s RatingDog manufacturing data for August. The metric — previously known as the Caixin Purchasing Managers’ Index — came in at 50.5, compared with a contraction of 49.5 the month before.
Data released Sunday showed that the country’s manufacturing PMI data came in at 49.4 in August, compared with 49.3 the month before.
Investors are also assessing India-China relations after leaders from both countries agreed that they are development partners, not rivals, during a two-day meeting of the Shanghai Cooperation Organization regional security bloc. Chinese President Xi Jinping is expected to deliver a speech at the summit.
U.S. financial markets are closed for the Labor Day public holiday on Monday.
— CNBC’s Amala Balakrishner contributed to this market report.
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