European equities climbed Monday, mirroring a brighter global tone as signs emerged that the historic U.S. government shutdown could soon end. The STOXX 600 rose 1.1% to 571.27 by 09:12 GMT, rebounding from a three-week low, with Germany’s DAX and France’s CAC 40 also up more than 1.1%.

The bounce follows the index’s steepest weekly loss since late August, driven by worries over a tech-led bubble and a blackout of official U.S. data during the 40-day shutdown. Risk appetite improved after the U.S. Senate advanced a funding bill that would keep the government open through January, pending House and White House approval. Still, investors expect lingering data disruptions, with strategists noting policymakers and markets may be “flying blind” into early next year.

Sector moves and single-stock highlights

• Technology: Led sector gains with a ~2.1% advance as dip-buyers returned. Siemens Energy jumped ~5% after an upgrade to Buy at Jefferies.
• Consumer staples: Diageo surged ~6.6% after naming former Tesco boss Dave Lewis as CEO, a high-profile external hire aimed at resetting strategy amid a tougher backdrop for spirits.
• Healthcare/biopharma: Camurus spiked ~12.3% on positive weight-loss drug data. Novo Nordisk rose ~3% after dropping its bid for U.S. firm Metsera, ending a contest with Pfizer.
• Industrials/Materials: Salzgitter gained ~6.8% as nine-month results topped expectations.
• AI/Cloud: Northern Data rocketed ~35% after Rumble said it would acquire the AI cloud company in an all-stock deal valuing it at roughly $767 million.

Macro outlook

Later this week brings eurozone Q3 GDP—a key check on growth momentum as companies digest shifting trade dynamics. A BusinessEurope survey pointed to a larger trade-tension hit in 2026 versus 2025, underscoring medium-term uncertainty even as near-term risk sentiment improves.

Bottom line

A prospective U.S. shutdown resolution and a resilient earnings tape provided the catalyst for a broad European rebound, led by tech and select corporate winners. With official U.S. data still constrained and valuation sensitivity high, sustainability of the move will hinge on macro clarity and guidance durability into year-end.