In European Equity Markets stocks gained on Monday as mining stocks touched a 2 1/2-year high on rising copper prices and mergers and acquisitions continued to drive shares, with takeover offers sending German drugmaker Stada to a record high. The pan-European STOXX 600 index rose 0.8 percent, after earlier touching its highest level since December 2015. Stada rose 14 percent before paring back to close up 12.8 percent, leading gainers on the STOXX 600 index and finishing the day at just over the 56 euros per share offered by Cinven. Italy’s newly merged Banco BPM was the second-top European riser after its results, up 6.7 percent. Peer Ubi Banca gained 6.4 percent.
In Currency Markets the dollar rose to a near three-week high against a basket of currencies on Monday, lifted by hopes of U.S. tax cuts to stoke corporate profits and investments as well as bets on whether the Federal Reserve might raise interest rates more quickly. The dollar advanced to a two-week peak against the yen following reports that Trump did not even discuss the currency or its strength during weekend talks with visiting Japanese Prime Minister Shinzo Abe. It was last up 0.7 percent at 113.94 yen. The euro fell 0.39 percent at $1.0598. Sterling was little changed at $1.2487. The dollar index reached 101.07, its strongest level since Jan. 20. It was last up 0.2 percent at 101.04.
In Commodities Markets oil fell more than 1 percent on Monday after an OPEC report showing high compliance with last year’s landmark production- cut deal underwhelmed investors while signs of rising U.S. crude output continued to weigh on prices. Global benchmark Brent crude futures were down 96 cents at $55.74 a barrel and touched a session low of $55.65. West Texas Intermediate crude futures were down 82 cents at $53.04 a barrel and traded as low as $53.01 earlier in the day. The spot price was down one percent at $1,221.9 an ounce from last week’s three-month high of $1,244.67. Spot silver eased 0.8 percent to $17.8 per ounce. Platinum lost 1.6 percent to $994.5 per ounce and palladium was down 1.3 percent at $774.0 per ounce
In US Equity Markets the main stock indexes hit record intraday highs on Monday, with the S&P 500 topping $20 trillion in combined market-capitalization for the first time ever, as the “Trump trade” jump-started on renewed optimism about the economy. The Dow Jones Industrial Average was up 0.55 percent, at 20,381.23. The S&P 500 was up 0.36 percent, at 2,324.65 and the Nasdaq Composite was up 0.43 percent, at 5,759.03. Telecom stocks were the top losers, down 1.2 percent after Verizon said it would reintroduce its unlimited data plan, sparking fears of a price war. Verizon was down 0.8 percent. AT&T fell 1.6 percent, T-Mobile sank 3 percent, Sprint fell 1.4 percent.
In Bond Markets U.S. Treasury yields rose on Monday as investors looked ahead to testimony by Federal Reserve Chair Janet Yellen on Tuesday and Wednesday and waited on a busy week of economic data. Benchmark 10-year notes were last down 9/32 in price to yield 2.44 percent, up from 2.41 percent late on Friday. Italy’s 10-year bond yield was down 4 basis points at 2.22 percent, having opened the day higher. Yields on other low-rated euro zone bonds in Spain and Portugal fell 4 and 10 basis points to 1.66 percent and 4.04 percent, respectively.