FX.co ★ European Markets Poised for Strong Open

European stocks appeared poised for a strong start on Monday, buoyed by an improved risk appetite driven by optimism surrounding the potential resolution of the extended US government shutdown, following Senate approval of an initial funding measure. Additionally, apprehensions about inflated valuations in the AI sector, which contributed to last week's market downturn, have diminished. In the corporate sphere, Nexperia, a Dutch company, received exemptions from Chinese export controls for its chips intended for civilian applications, a development anticipated to alleviate supply shortages faced by automakers and parts suppliers. Concurrently, Pfizer announced its acquisition of Metsera for up to $10 billion, surpassing a competing offer from Danish company Novo Nordisk. There are no significant earnings reports or economic releases expected in Europe on Monday. In the premarket session, futures for Euro Stoxx 50 and Stoxx 600 both advanced by over 1%.