Lates News

European stock markets opened broadly lower this week as another surge in oil prices intensified inflation concerns and continued to weigh on global risk sentiment. The Euro Stoxx 50 fell 0.6%, Germany's DAX dropped 0.3%, France's CAC 40 declined 0.4%, the UK's FTSE 100 rose 0.3%, Spain's IBEX fell 0.3%, and Italy's FTSE MIB dropped 0.5%. The dominant market narrative remains rising oil prices and climbing bond yields. This follows another attack on Saudi energy infrastructure, with Middle East shipping routes facing further threats. This reinforced concerns that an energy shock will keep inflation pressures elevated for longer. The signal is particularly amplified ahead of the Federal Reserve's meeting decision this week. After hot U.S. inflation data and the latest jump in energy prices, markets are now pricing in an approximately 87% probability of a Fed rate hike.