This is CNBC’s live blog covering European markets.
European markets are expected to start the new trading week on a mixed note, with market attention on the inauguration of U.S. President-elect Donald Trump later Monday.
The U.K.’s FTSE 100 index is expected to open 12 points lower at 8,493, Germany’s DAX up 3 points at 20,897, France’s CAC up 6 points at 7,720 and Italy’s FTSE MIB up 21 points at 36,351, according to data from IG.
Investors are looking ahead to Trump’s inauguration ceremony Monday and how markets will fare during his second term in office. U.S. stocks rallied after his November electoral victory, as investors bet on deregulation and lower taxes.
Globally, however, there are concerns over his pledge to implement universal tariffs on imported goods to the United States, with economists saying the policy is likely to contribute to inflation and put pressure on U.S. consumers.
Trump plans to sign more than 50 executive orders Monday — and possibly more than 100 — on the first day of his second presidency, according to a person in his transition operation, NBC News reported late Sunday.
Investors in Europe are also gearing up for the World Economic Forum in Davos, Switzerland, this week. At the annual event, political and business leaders, among others, will gather in the Alpine resort for a wide range of debates, from how to increase economic growth to the challenges that artificial intelligence poses. The forum begins on Monday, but steps up a gear on Tuesday.
There are no major earnings or data releases slated for release in Europe on Monday. U.S. financial markets are closed on Monday for Martin Luther King Jr. Day.
South Korea pledges record financial support for exporters as Trump returns to White House
South Korea’s finance ministry pledged to provide a record 360 trillion won ($247.74 billion) of financial support to its exporters as Donald Trump is set to begin his second term as president.
The ministry also announced it will increase its exchange rate insurance support to 1.4 trillion won this year, up from 1.2 trillion won in 2024.
The statement added that semiconductors and rechargeable batteries were among sectors more at risk from potential new U.S. policies.
— Lee Ying Shan
China keeps benchmark lending rates unchanged as it contends with a weakening yuan
China left its benchmark lending rates unchanged Monday, as Beijing contends with a weakening yuan while awaiting policy clues from the incoming Donald Trump administration.
The People’s Bank of China held the 1-year loan prime rate at 3.1%, and the 5-year LPR at 3.6%, according to the PBOC statement.
The 1-year LPR determines rates on corporate and most household loans, while the 5-year LPR acts as a reference for mortgage loans.
Read the full story here.
— Anniek Bao
European markets: Here are the opening calls
European markets are expected to open in mixed territory on Monday.
The U.K.’s FTSE 100 index is expected to open 12 points lower at 8,493, Germany’s DAX up 3 points at 20,897, France’s CAC up 6 points at 7,720 and Italy’s FTSE MIB up 21 points at 36,351, according to data from IG.
There are no major earnings or data releases Monday.
— Holly Ellyatt
