FX.co ★ European Stocks Inch Higher

European stocks ended Monday with modest gains, buoyed by advancements in the automotive and technology sectors. Investors continued to analyze the European geopolitical climate to determine if the current positive trend for equities could sustain into the coming year. The STOXX 50 recorded an increase of 0.2%, reaching 5,5757, while the pan-European STOXX 600 edged up to 589. Despite a general downturn among tech stocks on Wall Street, European technology companies like ASML and Nokia each saw a 1% rise. German automotive giants BMW and Mercedes-Benz also posted 1% gains. Conversely, defense stocks experienced notable declines. This downturn followed a meeting between US President Trump and Ukrainian President Zelensky, which led markets to anticipate an increased chance of a ceasefire. Rheimetall saw a 1% drop, and both Leonardo and Thales declined by 2%.