dpa

Frankfurt

European stocks closed on a strong note on Monday and most of the major markets rebounded from multi-week lows posted in the previous session as rising prospects of an end to the government shutdown in the US helped underpin sentiment.

The mood remained quite bullish on Monday following the United States moving a step closer towards ending the historic government shutdown.

The US Senate voted 60-40 to end the longest-running government shutdown, which entered its 40th day on Sunday.

The bipartisan legislation, which would fund most federal agencies through January and guarantee back pay for federal employees affected by the closure, would now go to the House of Representatives for consideration.

The pan European Stoxx 600 gained 1.39 percent. The UK’s FTSE 100 closed up 1.03 percent, Germany’s DAX climbed 1.77 percent and France’s CAC 40 settled with a gain of 1.37 percent. Switzerland’s SMI ended with a gain of 1.28 percent.

Among other markets in Europe, Belgium, Czech Republic, Denmark, Finland, Greece, Iceland, Ireland, Netherlands, Norway, Poland, Spain and Sweden closed with sharp to moderate gains. Russia and Turkiye ended weak.

In the UK market, Diageo climbed about 5.3 percent after the company named former Tesco boss Sir Dave Lewis as its new chief executive.

Fresnillo rallied 5.4 percent. Endeavour Mining, Polar Capital Technology Trust, SSE, IAG, Barratt Redrow, Barclays, Burberry Group, Entain, WPP, Ashtead Group, Persimmon, St. James’s Place, Lloyds Banking Group, Standard Chartered, 3i Group and Pershing Square Holdings gained 2.3 to 4.5 percent. Rightmove, Hikma Pharmaceuticals, BT Group, Compass Group and Coca-Cola Europacific Partners closed lower by 1 to 1.8 percent.

In the German market, Commerzbank jumped nearly 7 percent after Deutsche Bank upgraded the stock’s rating to “buy.”

Siemens Energy gained about 4.5 percent following a rating upgrade by Jeffereis. Hannover Rueck moved up sharply after raising its fiscal 2025 outlook.

Hannover reported lower earnings for the third-quarter of its current financial year. However, nine-month profit increased from last year and the company raised fiscal 2025 outlook.

The firm also issued fiscal 2026 profit guidance, expecting growth. For fiscal 2025, the company now expects Group net income of around ?2.6 billion, higher than previous estimate of around ?2.4 billion.

Deutsche Bank, Siemens, Heidelberg Materials, Daimler Truck Holding, MTU Aero Engines, Rheinmetall, Deutsche Post, Munich RE, Infineon and RWE gained 2 to 4.3 percent.

In the French market, Capgemini, Societe Generale, Kering, LVMH, Safran, Accor and BNP Paribas gained 2.5 to 4.3 percent. Stellantis, Credit Agricole, Bouygues, Hermes International, Sanofi, Airbus, Renault, Teleperformance and Pernod Ricard also closed with strong gains.