European Markets Await Fed Decision Amidst German Political Upheaval

European markets are poised for a ​mixed start on Monday, ⁣with investors keenly focused on the Federal Reserve‘s final meeting of the ​year and meaningful political‍ developments in Germany. The upcoming⁢ Fed decision is ⁣expected to heavily⁤ influence global market trends,⁢ prompting close scrutiny of the central⁢ bank’s policy statement and Chair Jerome Powell‘s press​ conference.

According to data from IG, pre-market indicators suggest a slightly bearish sentiment. The FTSE 100 is‍ projected to open 4 points lower ‍at 8,292.⁢ Conversely,‌ Germany’s DAX is‍ expected to rise ⁢36 points, reaching 20,443. France’s CAC is predicted ‍to dip 1 point to 7,401, while Italy’s FTSE MIB ⁣is anticipated to gain 16 points, settling ⁢at 34,876.

The CME Fedwatch tool currently forecasts a 96% probability of a ‌25-basis-point interest ​rate cut by‌ the Fed on December 18th. This anticipated move‌ has ‍global markets on edge,with traders anxiously awaiting⁣ clues about the future trajectory of interest rates. “The⁢ Fed’s⁤ decision is front and center for global markets this week,” ⁣notes a leading market analyst.

Adding to the market uncertainty is the ongoing political drama in germany. Chancellor Olaf scholz‍ is scheduled to‌ face a vote of no confidence in parliament on Monday. This follows the collapse of his governing coalition last month. The potential‌ for snap elections in February adds​ another layer of complexity to the already volatile market landscape. ​ The outcome of this vote⁤ will⁣ undoubtedly impact investor ⁢confidence and market sentiment.

Further complicating the economic picture, investors will also ⁤be ⁤analyzing flash services and manufacturing purchasing managers’ index (PMI) data released ​from France and Germany on Monday. These ‍economic indicators‌ will​ provide valuable insights into the health of the European economy⁤ and‌ could influence trading decisions.

The⁣ confluence⁣ of the Fed’s decision and the german political crisis creates a volatile habitat‌ for European markets. The coming days‍ will be crucial ‍in determining the direction of these⁤ markets‌ and their impact ‍on the global economy.

European markets are expected to open⁢ mixed on Monday, with the FTSE 100 projected to‍ open lower, while⁤ Germany’s DAX​ is expected to rise. [provided article]





The⁢ CME Fedwatch tool currently forecasts a 96% probability of a 25-basis-point interest rate cut by the Fed on December 18th.[[[[[provided article]]



Chancellor Olaf ‌Scholz is scheduled to‍ face a vote ⁣of no confidence on Monday. The outcome of this vote will⁣ likely impact​ investor ⁢confidence and market⁣ sentiment.[[[[[provided article]]