Global markets showed positive momentum on Monday, following last week's gains on Wall Street. Investors reacted favorably to President-elect Donald Trump's selection of billionaire investor Scott Bessent as his nominee for Treasury secretary, viewing it as a market-friendly choice.
European shares surged, with Germany's DAX climbing 0.7% and France's CAC 40 jumping 0.9%. The UK's FTSE 100 also saw a 0.4% increase. In Asia, Japan's Nikkei 225 and South Korea's Kospi both rose by 1.3%, while Australia's S&P/ASX 200 gained 0.3%. However, Chinese markets experienced declines, with the Shanghai Composite edging lower and the Hang Seng in Hong Kong falling.
Technology stocks faced challenges, with companies like Meituan and Tencent seeing declines. In India, the Sensex rose amid protests against billionaire Gautam Adani, who was recently indicted in the U.S. for alleged fraud and bribery.
Looking ahead, key economic data releases are anticipated, including an update on consumer sentiment and inflation data. The Federal Reserve's upcoming meeting will closely consider the latest Personal Consumption Expenditures (PCE) index for October, which is a crucial measure of inflation.
On Wall Street, stocks closed higher last week, with the Dow Jones Industrial Average reaching a record high. The market has been volatile since the U.S. elections, with investor sentiment influenced by Trump's policy decisions.
Scott Bessent, the nominee for Treasury secretary, is expected to bring nuanced economic strategies and potentially ease concerns over abrupt policy shifts. Investors are monitoring for signs of moderation in Trump's approach to tariffs and other economic policies.
In the cryptocurrency market, bitcoin hovered around $98,000, while oil prices saw a slight decline. The U.S. dollar strengthened against the Japanese yen and the euro.
Overall, global markets are navigating uncertainties and potential policy shifts, with a focus on economic data releases and the Federal Reserve's upcoming meeting.
