10th Nov 2025 06:52
(Alliance News) - Stocks in London are set to open higher on Monday, with investor sentiment boosted after US senators reached a bipartisan stopgap agreement to end the record-breaking government shutdown.
IG says futures indicate the FTSE 100 to open up 81.6 points, or 0.9% at 9,764.17 on Monday. The index of London large-caps closed down 0.6% at 9,682.57 on Friday.
Sterling was quoted at USD1.3156 early Monday, slightly lower than USD1.3166 at the London equities close on Friday.
The euro traded at USD1.1562, down from USD1.1582 late Friday, while against the yen, the dollar strengthened to JPY154.00 from JPY153.07.
Sentiment improved sharply as news broke that US senators had reached a bipartisan deal on Sunday to resume federal funding and end the government shutdown, which stretched to a record 40 days.
The funding lapse had forced many federal agencies to halt operations and raised concerns over its impact on air travel, welfare programmes, and the broader economy.
According to reports from CNN and Fox News, the agreement will fund the government through January and was reached after days of wrangling over healthcare subsidies, food benefits, and President Donald Trump's controversial dismissals of federal employees.
As news of the breakthrough emerged, Trump told reporters when he arrived at the White House after a weekend at his Mar-a-Lago estate in Florida: "It looks like we're getting very close to the shutdown ending."
In New York on Friday, Wall Street ended mixed. The Dow Jones Industrial Average rose 0.2%, the S&P 500 added 0.1%, while the Nasdaq Composite edged down 0.2%.
In Asia on Monday, markets followed the positive tone. The Nikkei 225 in Tokyo rose 1.3%, the Shanghai Composite in China gained 0.3%, and the Hang Seng Index in Hong Kong advanced 1.4%. The S&P/ASX 200 in Sydney closed up 0.8%.
In another sign of easing global tensions, China announced the suspension of an export ban on key industrial metals including gallium, germanium, and antimony, which are critical for advanced technologies.
Beijing's commerce ministry said Sunday the suspension would last until November 27, 2026, reversing restrictions imposed in December 2024.
The move follows the October 30 meeting between Chinese President Xi Jinping and US President Donald Trump in South Korea, where the two leaders agreed to step back from several punitive measures implemented during their trade dispute.
Separately, the European Commission said Saturday that Chinese authorities had confirmed a partial resumption of Nexperia chips, easing a blockage that has alarmed carmakers.
Separately, the European Commission said Chinese authorities confirmed a partial resumption of chip exports from Dutch semiconductor firm Nexperia, easing a months-long standoff that had alarmed European carmakers.
The dispute began after the Dutch government effectively took control of Nexperia, whose parent company is China's Wingtech, prompting Beijing to block re-exports of its chips.
Carmakers warned the restrictions could lead to production delays, but Beijing's decision to lift parts of the ban appears tied to broader trade concessions agreed by Xi and Trump.
Meanwhile, European Commission President Ursula von der Leyen has added amendment options to her proposal for the EU's next long-term budget after the European Parliament threatened to block it, according to a letter seen by dpa.
Von der Leyen informed European Parliament President Roberta Metsola and the current EU Council presidency in writing of possible amendments to her proposal, dpa has learned.
The options include giving regions more say, offering possible safeguards for the agricultural sector and strengthening the European Parliament's role in allocating money from the EU budget.
In corporate news, Pfizer Inc looked poised to secure its takeover of obesity-drug developer Metsera Inc, after the US biotechnology startup's board accepted an improved offer and Danish rival Novo Nordisk AS withdrew from the bidding war.
Metsera said in a Friday press release that Pfizer's latest proposal values the company at up to USD86.25 per share, or roughly USD10 billion, double its initial valuation in September.
The board "unanimously recommends" shareholders approve the amended merger agreement at a meeting scheduled for November 13, with closing expected "promptly thereafter."
Novo Nordisk said on Saturday it "does not intend to make an increased offer."
Gold was quoted at USD4,072.00 an ounce early Monday, up from USD4,012.24 on Friday. Brent oil was trading at USD64.12 a barrel, up from USD63.51 late Friday.
In Monday's corporate calendar, Applied Nutrition releases full-year results, Caledonia Mining Corp and Vaalco Energy post third-quarter results, while Kainos Group issues half-year results and Kingspan Group publishes a trading statement.
In the economic calendar, Ireland industrial production data are due at 1100 BST.
By Eva Castanedo, Alliance News reporter
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