21 Feb 2022
European Stock Futures Surge amid Hopes of Possible Ukraine-Russia Conflict Resolution
The Index Today
European stock markets are poised to open higher on Monday as diplomatic talks between the U.S. and Russia over Ukraine has triggered hopes of possible political resolution.
The DAX futures contract in Germany and France’s CAC 40 futures rose by 0.8% each at 2am ET (0700 GMT). The U.K.’s FTSE 100 futures also soared by 0.6%.
News of potential negotiation talks between the U.S. and Russia come as a welcome relief for world markets that have been on the edge over potential supply disruptions stemming from the geopolitical tensions between Ukraine and Russia. French President Emmanuel Macron announced on Monday that U.S. President Joe Biden has agreed to meet Russia’s Vladimir Putin “in principle” as long as the latter does not invade Ukraine.
However, unclear aspects of the summit coupled with the closure of U.S. markets on Monday due to the Presidents’ Day holiday have put a limit on market gains.
Additionally, Germany’s producer prices have soared by 2.2% in January, marking a major 25% increase reaching beyond expectations which places more pressure on the ECB to counter mounting pandemic-induced inflation.
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