European stocks look set to open lower on Monday, with Brexit worries and the dollar’s weakness against the euro and pound likely to keep investors nervous.
British Prime Minister Theresa May plans to trigger the two-year Brexit process on Wednesday after saying she would rather walk away with no deal than accept a bad deal.
In news out of Germany, German Chancellor Angela Merkel’s party won elections in the western state of Saarland, underscoring the challenge facing her Social Democratic rivals as they seek to deny her a fourth term in September.
The Japanese yen strengthened, gold prices rose over 1 percent to hit a one-month high and the dollar sagged to hover near a two-month low against a basket of currencies, as the inability to overhaul the U.S. healthcare system triggered concerns about the prospects for President Donald Trump’s plans to use fiscal stimulus to boost growth.
Trump suffered a spectacular defeat in repealing the healthcare legislation after Republicans pulled their bill to overhaul the U.S. healthcare system amid indications of a shortage of votes.
Oil futures dipped in Asian deals as signs of increased drilling activity in the U.S. overshadowed media reports that OPEC and non-OPEC oil producers are looking at extending an agreement to cut supplies by six months.
In economic releases, sentiment in the British financial services sector stabilized in the three months to March after having deteriorated throughout 2016, the Financial Services Survey from the Confederation of British Industry and PricewaterhouseCoopers showed.
About 33 percent of firms said they were more optimistic about the overall business situation compared with three months ago, whilst 29 percent were less optimistic, giving a balance of +4 percent compared to -35 percent in the December quarter.
U.S. stocks ended mixed on Friday, with the Dow declining 0.3 percent and the S&P slipping marginally while the Nasdaq Composite edged up 0.2 percent.
European markets ended Friday’s…