European stocks were quiet on Monday morning as investors looked at mixed corporate earnings and waited for a possible trade deal between the US and the EU.
The STOXX 600 index, which tracks European shares, was almost flat, down just 0.01% at 546.97 points..
US Commerce Secretary Howard Lutnick said on Sunday he’s confident a trade deal with the EU can be reached, but warned that August 1 is the final deadline before tariffs are applied. He also mentioned there’s still “plenty of room” for an agreement after talks with European negotiators.
In sectors, European basic resources rose 2.6%, making it the best performer, while the automobile sector dropped 0.3%.
For individual stocks, Ryanair jumped 5.8% after reporting that its net profit more than doubled in the April-June quarter, making it one of the top gainers in the STOXX 600. On the other hand, Stellantis fell 2.4% after announcing it expects a net loss of 2.3 billion euros ($2.68 billion) for the first half of 2025.
On the FX front, the Japanese yen (JPY) strengthened by 0.7% to 147.74 per dollar but stayed near last week’s 3.5-month low of 149.19 as investors worried about Japan’s political and financial situation. It was last trading at 148.09 yen per dollar. The yen also rose slightly against the euro to 172.40 and against the British pound to 199.03.
The euro increased by 0.1% to 1.1642, while the British pound was at $1.3442. The US dollar index, which tracks the dollar against six other currencies, dropped 0.1% to 98.29.
The New Zealand dollar fell 0.1% to 0.5957 after inflation rose in the second quarter but was lower than expected. This led to speculation that interest rates might be cut next month due to weak economic conditions.
In cryptocurrencies, bitcoin rose 1% to 119412, staying below last week’s record high of 123153.
Currency Power Balance
