European stocks mixed; caution ahead of US election, central bank meetings By Investing.com

Investing.com – European stock markets traded in tight ranges Monday, at the start of an action-packed week that includes a US presidential election, interest rate decisions from the Federal Reserve and Bank of England, as well as more quarterly corporate earnings. 

At 03:05 ET (08:05 GMT), the in Germany traded 0.1% lower, and the in France fell 0.1%, while the in the U.K. climbed 0.2%.

US election, central banks in focus

European equities have started the new week on a cautious note, as investors turn their eyes towards Tuesday’s US presidential election.

Early voting was already well underway in what is seen as a very tight race for the White House, pitching Republican Donald Trump against Democrat Kamala Harris, in an election race that will have far-reaching consequences for fiscal policy and global trade. 

Also of interest will be the Federal Reserve’s latest , which concludes on Thursday. 

The market widely expects the policymakers to agree to a rate cut of 25 basis points after Friday’s nonfarm payrolls report showed that jobs growth almost stalled in October amid the impact of strikes and weather disruptions.

Back in Europe, the also meets on Thursday, and is also expected to lower rates by 25 bps, after cutting rates for the first time in more than four years in August. 

The Swedish as well as the , in Norway, also hold policy meetings this week.

The data slate includes the final European figures for October, which are set to confirm that the region’s manufacturing sector remains in a dire state.

Ryanair reports drop in H1 profit

There are more earnings to digest this week in Europe, starting Monday with numbers from Ryanair, the region’s largest low-cost carrier.

The budget airline reported an 18% year-on-year fall in first-half profit, after average fares fell 10%, but stated that its current quarter bookings looked strong and ticket price weakness was moderating.

The Irish airline added that average fares in the current quarter would be only “modestly lower” than the same period last year.

Its stock fell 3%. 

Crude prices rise on OPEC+ delay 

Oil prices rose strongly Monday after OPEC+, a group of producing nations, delayed a planned output hike in December by at least a month, citing recent pressure on prices from weak demand. 

By 03:05 ET, the contract climbed 1.6% to $74.25 per barrel, while futures (WTI) traded 1.7% higher at $70.70 per barrel.

The Organization of Petroleum Exporting Countries and allies, known as OPEC+, announced on Sunday that it will again delay a planned output hike of 180,000 barrels per day by at least a month.

This was the second time it has extended a 2.2 million bpd cut and only goes to show how worried the producing countries are about global demand.

Both contracts had posted weekly declines last week of over 3% as record U.S. output had added to the demand concerns.