US stocks look set to record a fourth consecutive session of gains on Monday as optimism grows on a fiscal support deal being made this week.
Tech stocks led the way in the US. Apple Inc (NASDAQ: AAPL), ahead of its upcoming product launch, spiked nearly 4%, whilst Amazon.com Inc (NASDAQ:AMZN) rose 3.5% ahead of its annual Prime Day shopping event on October the 13th and 14th.
Lawmakers in the US continue to negotiate over the new proposed stimulus package. However, stock markets reacted positively to the negotiations. At the time of writing, the S & P 500 is up 1.69%. The Dow Jones is up 1.01%, whilst the NASDAQ is soaring and is currently up 2.59%.
European Stocks Rise, UK Lower
European stocks buoyed by the gains made in Asian stock markets closed higher on Monday. The pan-European Stoxx 600 closed up 0.8%. Auto, household goods, tech and utility sectors all adding over 1% on the day.
The French CAC closed the day 0.66% higher whilst the German DAX ended Monday’s session 0.67% higher.
In the UK, news of a three-tiered lockdown sent British stocks lower. The UK’s FTSE 100 index ended Monday in the red, down 0.25%.
Volatile Week Ahead
With Monday’s North American trading session in full swing, it looks as though investors should be prepared for a volatile week ahead. Stimulus talks in the US, the world’s largest economy, will dominate proceeding and influence much of this week’s stock movements.
Elsewhere, there is a raft of corporate earnings data to be released this week in the US. However, as we saw today in the UK, measures that can be brought in to combat the global pandemic can have an immediate effect upon a nation’s stocks. In the UK, like in much of Europe and beyond, the fragile economic recovery is being kept fully in check by COVID-19.
