European Shares Poised For Firm Opening

(RTTNews) - European stocks may open on a positive note Monday after U.S. stocks rallied to their best day in months on Friday amid moves by the Senate to prevent a possible partial shutdown of the U.S. government.

The potential gains, however, may remain limited due to geopolitical worries and escalating trade tensions.

U.S. stock futures fell after U.S. President Donald Trump told reporters aboard Air Force One that he has no intention of creating exemptions on steel and aluminum tariffs and that reciprocal tariffs will be imposed on April 2 alongside auto duties.

In economic news, the Federal Reserve's monetary policy meeting is likely to be in the spotlight this week along with reports on U.S. retail sales and industrial front. The Fed is widely expected to hold interest rates steady at the conclusion of its latest policy meeting Wednesday, with traders likely to focus on Fed Chair Jerome Powell's post-meeting comments for any changes in tone.

Asian markets were mostly higher after China unveiled a special action plan over the weekend to revive consumption.

Chinese officials are scheduled to brief the media on efforts to boost consumer spending later in the day.

Meanwhile, a slew of Chinese data released earlier today proved to be a mixed bag.

Industrial output grew nearly 6 percent in the first two months of the year from last year and retail sales rose by 4 percent, while home prices and real estate investment data signaled continued weakness in the property market.

The U.S. dollar hovered close to a five-month low against its major peers ahead of a German vote planned for Tuesday on a multibillion-euro financial package for defense, infrastructure and climate neutrality.

Treasuries edged higher following Friday's decline. Gold was little changed while oil prices rose about 1 percent to extend gains for a second straight session as the United States vowed to keep attacking Yemen's Houthis until the Iran-aligned group ends its assaults on shipping.

U.S. stocks rose sharply on Friday but posted steep losses for the week due to uncertainties around President Trump's tariff policies.

Investors shrugged off data that showed U.S. consumer sentiment plunged to a nearly 2-1/2-year low in March and long-term inflation expectations hit their highest level in 32 years.

The tech-heavy Nasdaq Composite surged 2.6 percent, the S&P 500 rallied 2.1 percent and the Dow climbed 1.7 percent to cap a volatile week as the risk of a government shutdown eased.

European stocks closed higher on Friday after German lawmakers reportedly agreed on a historic debt deal that will help increase defense and infrastructure spending.

The pan European STOXX 600 gained 1.1 percent. The German DAX jumped 1.9 percent, while France's CAC 40 and the U.K.'s FTSE 100 both added around 1.1 percent.