Major stock markets mostly rose on Monday, with Paris briefly reaching a fresh record, as traders reacted to indications the Federal Reserve could soon end a policy of hiking interest rates.
The Paris CAC 40 went back above 7,400 points, having breached the level for the first time last month. That came amid a record-high for London's FTSE 100 also in February as investors bet on the eurozone and Britain swerving recession this year.
However, lingering fears about high interest rates aimed at cooling elevated inflation have dampened equities in recent sessions.
Federal Reserve chair Jerome Powell is set to discuss monetary policy before the House and Senate committees on Tuesday, proceedings that will be scrutinised by investors seeking rate outlook clues.
That comes ahead of US payroll data on Friday and the Bank of Japan's two-day policy meeting from Thursday, which will be the last for governor Haruhiko Kuroda.
China's outgoing Premier Li Keqiang on Sunday said the country's economy would expand "around five per cent" this year, slightly below what analysts had predicted.
The world's second-largest economy grew three per cent last year, missing its target of around 5.5 per cent under the impact of strict COVID-19 containment policies and a property crisis.
China lifted its pandemic restrictions in December.
"China set itself one of the lowest gross domestic product target in many years, hinting to investors that the big reopening boom may not be as positive for the global economy as hoped," noted Neil Wilson, chief market analyst at Finalto trading group. "Oil and other industrial commodities slipped on the news, whilst basic resources stocks in London were hit, dragging the FTSE 100 marginally into the red."
China set itself one of the lowest gross domestic product target in many years, hinting to investors that the big reopening boom may not be as positive for the global economy as hoped- Neil Wilson, chief market analyst at Finalto trading group
Oil prices slid on expectations Chinese demand wouldn't be as strong as forecast, while the dollar largely steadied against main rivals.
Wall Street had posted its strongest session in more than a month on Friday. It came as a slide in US Treasury bond yields fortified beliefs the Fed was nearing the end of its rate-hiking cycle.