Europe Asia News

According to analysts, the UK’s FTSE index is expected to open 0.12 percent lower, Germany’s DAX index flat, France’s CAC 40 index 0.16 percent lower and Italy’s FTSE MIB index slightly below the flat line.

Regional equities traded lower on Monday, marking a gloomy start to the final trading month of the year as investors now expect the US Federal Reserve to cut interest rates at its 9–10 December meeting. According to the CME FedWatch Tool, traders are pricing in an 87.2 percent probability of a quarter-point rate cut.

The Bank of England (BOE) has not committed to a rate cut in December, but economists expect the central bank to do so, given signs of cooling inflation, the likely impact of deflationary measures in last week’s Autumn Budget, weak growth and a softening labour market.

US stock futures were relatively flat on Monday night after a weak start to December trading, while Asia-Pacific markets mostly advanced.

There are no major earnings due in Europe on Tuesday. Data releases include unemployment figures from Spain and Italy, as well as EU inflation data.

All three major US indices ended a five-day winning streak, while benchmark indices across the broader Asia-Pacific region were mostly higher on Tuesday.

Japan’s benchmark Nikkei 225 index rose 0.54 percent, while the Topix index gained 0.44 percent. Financials, energy and basic materials led the gains. Among the top performers on the Nikkei 225 was industrial robot maker Fanuc, up 5.86 percent. NGK Insulators, which produces diesel particulate filters, climbed as much as 6 percent, and electrical equipment company Fujikura gained 2.29 percent.

Hong Kong’s Hang Seng index added 0.49 percent at the open, while mainland China’s CSI 300 index slipped 0.17 percent. Shares of Alibaba Group rose about 3 percent in Hong Kong — their third straight day of gains — after the tech giant launched its Quark AI glasses in China on 27 November.

India’s Nifty 50 index opened 0.22 percent lower, while the BSE Sensex index fell 0.37 percent. Bajaj Housing Finance was among the biggest losers on the Nifty 50, dropping more than 8 percent after parent company Bajaj Finance announced it had sold 2 percent of its stake in the subsidiary.