European Stocks Steady Amid French Concessions Boost

European stocks stabilized as France scrapped a proposed budget reform, enhancing investor sentiment. The move influenced U.S. equities positively, with slight rises recorded in major indices. Global stocks also edged upward, highlighted by China's robust manufacturing data. Market focus remains on potential interest-rate cuts in Europe and the U.S.

European stocks gained stability on Monday following a decision by the French government to abandon a proposed budget reform. This move appeased investors, including those eyeing U.S. equities, which showed signs of a modest rise as December trading opened on Wall Street.

France's concession, particularly the decision not to alter medication reimbursements in 2025, bolstered European shares with a notable bounce-back in French stocks. The Dow Jones barely changed while S&P 500 and Nasdaq Composite saw slight increases.

Despite the current market optimism, the euro continued to weaken, influenced by potential deeper rate cuts from the ECB amid economic concerns in the eurozone. In the global context, the focus shifts to forthcoming Fed decisions, with the dollar gaining strength, impacting commodities such as gold and oil.

(With inputs from agencies.)