Global stock markets rose on Monday, spurred by political developments in France and Japan and mixed economic data. Oil prices increased after OPEC+ agreed to boost supplies at a slower pace, according to analysts. Gold also reached a new record, climbing above $3,600 an ounce as investors sought a safe‑haven asset.
In Japan, the resignation of Prime Minister Shigeru Ishiba triggered significant market moves. The yen fell while stocks surged, with the Tokyo Nikkei index closing up 1.5 percent as exporters benefited from the currency’s slide. Japanese bond yields rose after Ishiba announced his decision to step down after less than a year in power.
Europe saw similar optimism. The Paris stock market climbed and the euro stabilized as French Prime Minister François Bayrou faced a confidence vote in parliament. The European Central Bank is expected to keep interest rates steady, with inflation under control and U.S. tariff tensions easing. Friday’s U.S. jobs data reinforced expectations of a Federal Reserve rate cut later this month.
Trade data showed that falling Chinese exports to the United States were offset by increased shipments to Southeast Asia and Europe. Trade tensions between Beijing and Washington have been volatile this year, with both sides imposing escalating tariffs. Germany, Europe’s largest economy, reported a drop in exports to the U.S. in July, reaching the lowest level since 2021.
The OPEC+ alliance agreed to raise oil production by 137,000 barrels per day from next month, following a previous increase of 2.2 million barrels per day. At around 10:20 GMT, key market indices showed the London FTSE 100 up 0.2 percent, the Paris CAC 40 up 0.4 percent, and the Tokyo Nikkei 225 up 1.5 percent. The euro and pound traded at $1.1725 and $1.3511, respectively, while Brent North Sea crude rose 2.0 percent to $66.80 per barrel.
These developments illustrate a complex interplay of economic and political factors shaping the global market. As the situation unfolds, investors and policymakers will watch closely the outcomes of the French confidence vote and the Federal Reserve’s interest‑rate decision, both of which will be crucial in determining the trajectory of the global economy.
Comments are closed for this story.