Starmer’s China Visit Highlights Western Balancing Act Amid U.S.-China Rivalry 
Asian Markets Slide as Silver Volatility, Earnings Season, and Central Bank Meetings Rattle Investors 
Philippines Manufacturing PMI Hits Nine-Month High Despite Weak Confidence Outlook 
India Budget 2026: Modi Government Eyes Reforms Amid Global Uncertainty and Fiscal Pressures 
UK Employers Plan Moderate Pay Rises as Inflation Pressures Ease but Persist 
U.S. Eases Venezuela Oil Sanctions to Boost American Investment After Maduro Ouster 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
Asian Currencies Hold Firm as Dollar Rebounds on Fed Chair Nomination Hopes 
South Korea Factory Activity Hits 18-Month High as Export Demand Surges 
U.S. Government Faces Brief Shutdown as Congress Delays Funding Deal 
Oil Prices Slide Nearly 3% as U.S.-Iran Talks Ease Geopolitical Tensions 
EU Recovery Fund Faces Bottlenecks Despite Driving Digital and Green Projects 
IMF Forecasts Global Inflation Decline as Growth Remains Resilient 
Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
Dollar Holds Firm as Markets Weigh Warsh-Led Fed and Yen Weakness Ahead of Japan Election 
Wall Street Slides as Warsh Fed Nomination, Hot Inflation, and Precious Metals Rout Shake Markets 
European stocks opened higher on Monday, buoyed by strong gains across Asian markets and optimism ahead of a busy corporate earnings week. At 07:10 GMT, Germany’s DAX jumped 1%, France’s CAC 40 added 0.5%, and the U.K.’s FTSE 100 rose 0.4%. The positive tone follows last week’s sharp declines, when concerns over the U.S. banking sector weighed on investor sentiment. However, a rebound in U.S. regional bank shares on Friday helped restore confidence.
Asian markets provided a significant boost, led by Japan’s Nikkei 225, which surged more than 3% to a record high above 49,000 points. The rally came after reports that Japan’s ruling Liberal Democratic Party secured enough support to form a coalition government under Sanae Takaichi, who is expected to become the country’s first female prime minister. Known for her dovish fiscal stance, Takaichi is likely to prioritize government spending and resist further Bank of Japan rate hikes, with a parliamentary vote set for Tuesday.
Meanwhile, China’s economy grew 4.8% year-on-year in Q3 2025, slightly above forecasts of 4.7% but slower than the previous quarter’s 5.2% growth. The data reflects ongoing challenges from weak domestic demand, disinflation, and trade tensions with the U.S. In Europe, Germany’s producer prices fell 0.1% in September, marking a 1.7% annual decline, signaling subdued inflation pressures in the eurozone’s largest economy.
In corporate developments, luxury group Kering gained attention after announcing the €4 billion sale of its beauty division to L’Oreal, a move aimed at reducing debt and focusing on core fashion operations. Investors are also eyeing a packed week of earnings, with reports due from L’Oreal, SAP, Barclays, Heineken, Kering, Roche, Unilever, and Lloyds. On Wall Street, major companies including Tesla, Netflix, IBM, and Coca-Cola will also release results.
Oil prices edged lower amid concerns over global demand and a potential supply glut, with Brent crude falling 0.8% to $60.83 a barrel and WTI down 0.8% to $56.72. Both benchmarks have now logged three straight weeks of declines.
