By Steve Goldstein
European stocks rose on Monday to a fresh record high, with inflation fears receding from the market.
Up for four consecutive weeks, the Stoxx Europe 600 /zigman2/quotes/210599654/delayed XX:SXXP +0.74% rose 0.3%, putting the index on track for another record finish.
U.S. stock futures /zigman2/quotes/209948968/delayed ES00 -0.36% edged higher, after the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.75% closed at a record high on Friday, its 28th new milestone of 2021.
The yield on the U.S. 10-year Treasury /zigman2/quotes/211347051/realtime BX:TMUBMUSD10Y +1.68% remained anchored below 1.50%.
“The overriding impression from the last few days’ events appears to be that bond markets and investors in general appear to be buying the central bank narrative that the current high levels of inflation are transitory and will soon pass,” said Michael Hewson, chief market analyst a CMC Markets U.K.
The Federal Reserve will announce its latest monetary-policy decision on Wednesday.
Reports that the U.K. will delay its final relaxation of COVID-19 lockdown rules put slight pressure on airline stocks, with British Airways owner International Airlines Group /zigman2/quotes/208070069/delayed UK:IAG +3.25% slipping 3%.
Koninklijke Philips /zigman2/quotes/204604645/delayed NL:PHIA +1.37% dropped 4% in Amsterdam, after starting a recall in the U.S. for its first-generation DreamStation sleep and respiratory-care product family, which has led to a €250 million charge. Philips had already recorded a €250 million provision on the product. It said it was keeping its adjusted operating profit guidance for the year because of the strength of other businesses.
Ferrari /zigman2/quotes/200586103/delayed IT:RACE +1.51% fell 3% after being downgraded to sell from buy at Goldman Sachs on capital-spending concerns.
Bitcoin /zigman2/quotes/31322028/realtime BTCUSD +4.71% rallied, with the cryptocurrency trading around $40,000.