European Stock Markets Expected to Rise, Investors Bet on Fed Rate Cut in December

According to early indications, the Paris CAC 40 is expected to gain 0.79% at the opening. Futures contracts suggest a rise of 0.83% for the DAX in Frankfurt, 0.54% for the FTSE in London, and 0.71% for the European Stoxx 600. Markets are cautiously optimistic as they await several catalysts this week. In the United States, investors will closely monitor retail sales and producer prices, two key indicators for assessing inflation trends and refining monetary policy expectations. In the United Kingdom, attention will turn to the highly anticipated budget to be presented on Wednesday by Chancellor of the Exchequer Rachel Reeves, marking the first major budget test for the government since taking office. On the Fed's side, expectations for easing have strengthened following comments from John Williams, a prominent member of the U.S. central bank. He suggested on Friday that a rate cut could occur "in the short term." This statement has reignited bets on monetary easing as early as the December meeting, despite ongoing divisions within the committee.