APAC stocks had a strong start to the week after a positive performance on Wall Street last Friday, thanks to a stellar jobs report. European equity futures are also pointing towards a positive opening, with Euro Stoxx 50 futures showing a 0.3% increase after a 0.7% rise in the cash market on Friday.
The DXY has managed to hold on to most of its gains following the non-farm payroll report, with the EUR/USD pair hovering around the 1.09 mark. USD/JPY saw a brief uptick above 149 overnight as well.
In the midst of these market movements, Israel carried out a series of airstrikes on Lebanon, marking the most intense bombing in 24 hours since the escalation of its conflict with Hezbollah, according to the Financial Times.
Looking ahead, investors will be keeping an eye on key economic data releases such as German Industrial Orders, the EZ Sentix Index, and Retail Sales. In the US, reports on Employment Trends and Consumer Credit will also be in focus. Additionally, there will be speeches from notable figures including ECB’s Cipollone, Lane, and Escriva, as well as Fed’s Kashkari, Bostic, and Musalem.
As geopolitical tensions continue to impact market sentiment, investors are closely monitoring developments in the Middle East while also digesting economic indicators to gauge the health of the global economy. The ongoing airstrikes in the region have added another layer of uncertainty for market participants, who are seeking clarity on how these events may influence broader market trends in the days ahead.
