European equity futures rose on Monday while Asian stocks fell, pushing the regional index to an almost two-week low. Japanese and Chinese stocks tumbled in a cautious session for Asian equities amid increasing tension in Ukraine, which kept risk appetite in check and helped bolster the safe-haven yen.
European shares were expected to open slightly higher even in the face of the rising tensions, with spread betters predicting Britain's FTSE 100 (.FTSE) to open as much as 0.15 percent higher, Germany's DAX (.GDAXI) to gain 0.12 percent and France's CAC 40 (.FCHI) to rise 0.14 percent.
The Shanghai Composite Index (.SSEC) began the week with a fourth straight day of losses, down 1.5 percent, after state media reported President Xi Jinping saying at a politburo meeting on Friday that current fiscal and monetary policies would basically remain unchanged.
Futures on the Euro Stoxx 50 Index increased 0.2 percent by 7:18 a.m. in London as Astrazeneca Plc indicated interest in a the Pfizer Inc. bid. The MSCI Asia Pacific Index lost 0.4 percent, and Japan’s Topix index slid toward a fourth straight monthly loss. Standard & Poor’s 500 Index futures fluctuated. The won strengthened 0.6 percent. Wheat futures advanced a fifth day, rising 0.6 percent, while nickel pared its advance in London amid prospects for additional sanctions against Russia over the Ukraine crisis.
The U.S. and European Union will impose new sanctions on Russia as soon as today amid the detention of international observers by pro-Russian separatists. Russia is one of the world’s biggest nickel producers and is the fifth-largest wheat exporter, followed by Ukraine.
The Bank of Japan and U.S. Federal Reserve will meet on monetary policy this week while markets await reports on American employment and Chinese manufacturing.