- Italy targets climate activists in 'anti-Gandhi' demo clampdown
- US trade chief defends tariff hikes when paired with investment
- EU court blocks French ban on vegetable 'steak' labelling
- Meta AI turns pictures into videos with sound
- US dockworkers return to ports after three-day strike
- DR Congo to begin mpox vaccination campaign Saturday in east
- Meta must limit data use for targeted ads: EU court
- Oil extends gains, jobs report lifts Wall Street
- US hiring soars past expectations in sign of resilient market
- As EU targets Chinese cars, European rivals sputter
- Top EU court finds against FIFA in key transfer market ruling
- Oil extends gains, Hong Kong stocks resume rally
- 'A man provides': Ukrainian miners send families away as Russia advances
- EU states greenlight extra tariffs on EVs from China
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- Israel-Hamas war causes 86-percent dive in Gaza GDP: IMF
- Milan's Morata moves house after Inter-fan town mayor 'violates' privacy
- 'Devastating' storm hits Augusta National but Masters will go on
- Relief in Brazil, Asia over delay to EU deforestation rules
- Oil prices jump, stocks fall on Middle East tensions
- Biden says 'discussing' possible Israeli strikes on Iran oil facilities
- Oil prices rise, stocks fall on Middle East tensions
- Oil rallies, stocks mostly retreat on Middle East tensions
- Phasing out teen smoking could save 1.2 mn lives: study
- 'Welcome relief': Asia producers hail EU deforestation law delay
- Japan PM slated to announce plans for 'happiness index'
- Turkish inflation falls less than expected in September at 49.4%
- Easing inflation lifts profit at UK supermarket Tesco
- Skiing calls on UN climate science to combat melting future
- China wine industry looks to breed climate resilience
- Tokyo rallies on weak yen, Hong Kong drops after surge
- Dutch airline KLM unveils 'firm' cost-cutting measures
- Carpe diem: the Costa Rican women turning fish into fashion
- Senegal looks to aquaculture as fish stocks dwindle
- Will AI one day win a Nobel Prize?
- Climate change, economics muddy West's drive to curb Chinese EVs
- Argentina's Milei vetoes university budget after huge protests
- TotalEnergies plans to grow oil and gas production until 2030
- 2024 Nobels offer glimmer of hope as global crises mount
- Tokyo rallies on weak yen, Hong Kong reverses after surge
- Tunisia readies for vote as incumbent Saied eyes victory
- High childcare costs in US weigh on women's employment
- US voters seek help with crushing childcare costs
- Taiwan shuts down for second day as Typhoon Krathon to land
Asian and European markets rally, euro surges
Asian and European markets rallied on Monday, building on the momentum of gains in the United States and elsewhere at the end of last week, as investors price in the expectation of further interest rate hikes aimed at taming inflation.
The euro surged in early trading, a day after German central bank chief Joachim Nagel signalled that the European Central Bank (ECB) would probably continue raising its key rate.
The European single currency rocketed more than 1.4 percent against the dollar and 1.6 percent versus the yen.
The ECB raised the key rate by a historic 75 basis points last week, and markets expect a similar-sized hike at an October meeting.
Nagel predicted inflation in Europe might peak at more than 10 percent in December.
London, Paris and Frankfurt all opened higher on Monday, with bourses in Japan, Australia, Singapore, Taiwan, Jakarta, Malaysia and Thailand also rising.
Markets in Hong Kong, China and South Korea were closed for a public holiday.
This week, investors worldwide will be closely watching US inflation data for August, due to be released on Tuesday, with the consumer price index (CPI) expected to ease slightly to eight percent -- still well above the Fed's two-percent target.
Traders expect the Fed to impose another large rate hike next week, after two 75-basis-point increases already.
"A downside surprise in US CPI is likely more of a concern and that could see the dollar weakening further," Charu Chanana, a strategist at Saxo Capital Markets, told Bloomberg Television.
Clifford Bennett, chief economist at ACY Securities, said he expected stocks to "continue to drift higher" ahead of Tuesday's US CPI data.
"(US CPI) may well see further improvement as petrol prices have continued to pull back," he said.
"Other components are still likely to be pointing higher, but fuel prices could well dominate this CPI number."
Oil began the week flat, as investors weigh the possibility of global demand weakening as growth slows and China's harsh zero-Covid policy continues to sap economic activity.
On Monday, new data showed British GDP expanded by 0.2 percent in July, according to the Office for National Statistics.
Concerns remain, however, about the overall health of the UK economy.
"July's GDP remains below the level seen in May, pointing to an overall contraction over the first two months of summer," said Yael Selfin, chief economist at KPMG UK.
- 'Soft landing' hopes -
US Treasury Secretary Janet Yellen on Sunday said she was hopeful the US economy could avoid a recession, but that the Fed would need to skilfully manage interest rates and also rely on "some good luck to achieve what we sometimes call a soft landing".
"My hope is we will achieve a soft landing, but Americans know it's essential to bring inflation down and, over the longer run, we can't have a strong labour market without inflation under control," she told CNN.
Yellen said that while the US economy's growth rate was slowing, the labour market remained "exceptionally strong", with almost two openings for every jobseeker.
In addition to the US CPI figures on Tuesday, traders will be closely watching UK CPI on Wednesday, and European CPI and China home sales, retail sales and industrial production data on Friday.
In Tokyo, stocks closed higher on Monday with gains by tech shares and a weaker yen boosting the market.
The dollar fetched 143.18 yen in Asian trade, against 142.56 yen on Friday in New York.
"A cheaper yen is positive for corporate performances, despite recent media reports" that highlight the negative aspects of the weak yen, said chief strategist Masayuki Kubota of Rakuten Securities.
On Friday, Bank of Japan chief Haruhiko Kuroda met Prime Minister Fumio Kishida, saying the rapid weakening of the currency was "undesirable", an indication of possible upcoming action to arrest the fall.
- Key figures at around 0830 GMT -
Tokyo - Nikkei 225: UP 1.2 percent at 28,542.11 (close)
Hong Kong - Hang Seng Index: closed for public holiday
Shanghai - Composite: closed for public holiday
New York - Dow: UP 1.2 percent at 32,151.71 (close)
New York - S&P 500: UP 1.5 percent at 4,067.36 (close)
New York - Nasdaq: UP 2.1 percent at 12,112.31 (close)
London - FTSE 100: UP 1.2 percent at 7,436.07
Frankfurt - DAX: UP 1.4 percent at 13,268.26
Paris - CAC 40: UP 1.0 percent at 6,275.81
EURO STOXX 50: UP 1.2 percent at 3,612.75
Euro/dollar: UP at $1.0185 from $1.0046
Pound/dollar: UP at $1.1691 from $1.1587
Euro/pound: UP at 87.12 pence from 86.84 pence
Dollar/yen: UP at 142.77 yen from 142.56 yen
Brent North Sea crude: UP 0.1 percent at $92.92 per barrel
West Texas Intermediate: DOWN 0.1 percent at $86.73 per barrel
M.Davis--CPN