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Markets

European stock markets rise further at open

Published Updated

imageLONDON: Europe's main stock markets rose at the start of trading on Monday, extending last week's late recovery.

London's benchmark FTSE 100 index climbed 0.6 percent to 5,933.4 points compared with the close on Friday.

In the eurozone, Frankfurt's DAX 30 index gained 0.3 percent to 9,790.4 points and the Paris CAC 40 won 0.7 percent in value to open at 4,365.2.

Asian stock markets meanwhile rallied Monday and oil prices advanced once more as investors bet on central bank measures to support markets after a bloodbath at the start of the year.

The outcome of the Bank of Japan's monetary policy meeting on Friday "could be the main event this week... as the central bank may be about to announce another round of monetary stimulus", said Craig Erlam, senior market analyst at Oanda trading group.

"The Japanese economy has been stalling for some time and inflation has been non-existent. Add to this the recent appreciation of the yen on the back of safe haven flows and the BoJ may have little choice but to ease further."

Ahead of the Bank of Japan gathering, the US Federal Reserve is scheduled to hold its first meeting since lifting key, near-zero interest rates last month.

The US central bank will release a statement on Wednesday that investors will comb over for clues as to the pace of future rate hikes.

Copyright AFP (Agence France-Presse), 2016

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