European markets start week higher after Wall street records
Markets started Monday's session higher after last week's excellent performance from US indices, which managed to reach new all time highs despite disappointing earning reports from the highly anticipated mega-caps (Apple, Amazon). The German Dax opened with an upward gap and after rising 0,8% is now trading at the highest level since early September as investors await this week's central bank decisions and key macroeconomic data along with more earnings reports. Focus remains on policy, data and monitoring the ongoing economic recovery, which is being potentially hindered by rising inflation, supply chain issues and labour shortages and any significant shift in approach could lead to larger than expected effects across markets.
Oil nears recent highs ahead of OPEC+ meeting
Oil prices have been attempting to recover from the recent pullback which saw WTI drop over 5% and reach a low of $80,65 before rebounding slightly. Prices are once again heading higher and after breaking above the $84 level, are closing in on the multi-year highs reached last week while traders follow news of potential supply constraints indicated by OPEC. The Oil producing group is expected to meet this week and could give a further indication of the situation in the highly volatile energy market along with their near term projections, while addressing current supply concerns and the ongoing issue of rising oil prices. This is an important week for oil prices as both the OPEC meeting and inventory reports could potentially push prices past recent highs or alternatively, cause another pullback in the event of an unexpected production increase.