European Stocks Start March on a Positive Note
European stocks started March on a positive note, with the STOXX 50 and STOXX 600 edging up nearly 0.1%, as traders assessed geopolitical developments while awaiting key inflation data and the ECB's monetary policy decision later in the week.
Defense stocks led gains, with Rheinmetall (17.6%), Hensoldt (20%), Thales (16.6%), and Leonardo (12.4%) surging after European leaders pushed to form what Britain called a “coalition of the willing” to bolster Ukraine's security, alongside growing expectations of increased defense spending. Meanwhile, investors remain focused on whether a last-minute deal can prevent the implementation of 25% tariffs on imports from Mexico and Canada to the US, as well as an additional 10% tariff on Chinese goods, set to take effect this week.
On the data front, preliminary Eurozone CPI figures, due today, are expected to reinforce market bets that the ECB will proceed with another rate cut.
Source : Trading Economics
