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Global markets open mixed as investors eye trade tensions and rate outlook

2025/10/13/11:40
in Financial insights
Reading Time: 2 mins read
243 10
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Major markets across India, Europe, the Arab world, Africa and London opened cautiously on Monday as investors assessed renewed trade tensions and awaited key inflation data later this week. Early trading showed a fragmented sentiment, with risk appetite subdued and defensive sectors outperforming.

India: subdued start amid global uncertainty
Indian equities began the week on a muted note, with the Nifty 50 and BSE Sensex both slipping around 0.3 % in early trading. Investor confidence remained fragile as renewed tariff threats between the United States and China cast a shadow over global growth prospects. Traders also watched the debut of Tata Capital, which opened modestly above its issue price, signalling selective optimism despite the broader softness in sentiment. Financials and consumer stocks were the main laggards, while technology shares showed relative strength.

Europe: cautious optimism as markets open higher
European indices opened slightly firmer, supported by improved risk sentiment following reports of ongoing dialogue between major economies. The pan-European STOXX 600 edged up around 0.2 %, while Germany’s DAX and France’s CAC 40 both gained modestly. Investors continued to weigh expectations of gradual monetary easing by the European Central Bank against signs of persistent inflation in energy and food prices. Analysts noted that market movements remained narrow, with trading volumes below average ahead of key earnings later in the week.

Arab and African markets: oil and currency shifts in focus
Across the Gulf, trading opened mixed as oil prices stabilised following last week’s volatility. Saudi Arabia’s Tadawul index hovered near flat levels, while the Dubai Financial Market saw minor gains led by property and logistics firms. In Africa, the Johannesburg Stock Exchange opened marginally higher amid strong performance in mining stocks, buoyed by firmer metal prices. However, persistent concerns over regional currencies and external debt pressures kept investor sentiment cautious. North African exchanges, including Casablanca and Cairo, also reflected a defensive tone.

London: modest gains despite global headwinds
London’s FTSE 100 opened around 0.3 % higher, led by healthcare and energy sectors. Market participants pointed to resilient corporate earnings and expectations that the Bank of England may maintain rates unchanged at its upcoming meeting. Still, analysts warned that lingering geopolitical uncertainty and slowing demand from China could cap upside momentum. The pound remained steady against the dollar, suggesting investors were positioning conservatively ahead of a dense week for economic data and company updates.

Outlook: eyes on data and central banks
As the trading day progresses, attention is likely to shift towards upcoming U.S. inflation figures and European industrial output data, both of which could influence short-term policy expectations. Market watchers expect volatility to remain contained but persistent, reflecting a global balancing act between easing inflation and slowing growth.

Newshub Editorial in Europe – 13 October 2025

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