European Stocks Jump on Hopes for Deal to End US Shutdown
European stocks climbed on Monday as hopes for a deal to end the US government shutdown boosted risk sentiment.
The Stoxx Europe 600 advanced 1% at 8:16 a.m. in London. The technology and mining sectors were leading gains, while personal care products shares lagged.
Among individual stocks, Diageo Plc rose 7% after naming Dave Lewis, the former head of supermarket chain Tesco Plc, as its new chief executive officer.
European shares rebounded after the US Senate took a major step toward reopening the government. A group of moderate Democrats broke with their party leaders and voted to support a deal to end the record-breaking shutdown.
Meanwhile, Treasury Secretary Scott Bessent said a tariff “dividend” of at least $2,000 could come via the tax cuts passed in President Donald Trump’s economic policy bill.
“The deal to end the US shutdown and Trump’s plan for a new stimulus seem to be the two factors behind this morning’s euphoria,” said Laurent Lamagnere, deputy chief executive officer at Alphavalue in Paris.
Source : Bloomberg.com