LIVE MARKETS-Before the bell: Europe up, defence and weed stocks eyed

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BEFORE THE BELL: EUROPE UP, DEFENCE AND WEED STOCKS EYED

European shares looked set for a positive start on Monday, shrugging off fresh concerns over China’s property sector, as markets kick off the last full trading week of the year, packed with central bank decisions and U.S. macro data.

EuroSTOXX 50, DAX and FTSE futures were all up around 0.4%, while U.S. contracts floated above parity, suggesting selling pressure will ease on Wall Street after Friday’s AI-driven selloff.

In Europe, defence stocks .SXPARO were in focus after Ukraine’s President Volodymyr Zelenskiy signalled readiness to drop NATO membership aspirations, with negotiations continuing on Monday. One trader estimated the sector could open about 2% lower.

In the UK, the Financial Reporting Council opened an investigation into Ernst & Young’s audit of Shell’s SHEL.L 2024 financial statements over potential breaches of audit partner rotation rules.

Generic drugmaker Hikma Pharmaceuticals HIK.L announced CEO Riad Mishlawi will step down.

Meanwhile, North American cannabis stocks briefly hit new highs in early Frankfurt trade, led by Canopy Growth WEED.TO, extending Friday's rally on expectations the U.S. could soon ease restrictions on marijuana.

(Danilo Masoni)

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