Europe's stock exchanges are taking the momentum from Friday into the new stock market week.

Investment strategist Jürgen Molnar from the brokerage house Robo-Markets said that fears of excessive interest rate hikes by the Fed, which could stall the US economy, are easing.

“The US Federal Reserve remains on the monetary policy brake pedal.

However, investors trust her that she will closely monitor the corresponding signs in the economy and make adjustments if necessary.

Investors were also encouraged by the victory over Corona in Shanghai declared by the local authorities.

The pandemic restrictions in the Chinese economic metropolis had slowed down the global economy in the past few months.

Against this background, investors grabbed, among other things, luxury goods stocks, for which China is an important sales market.

The shares of LVMH, Richemont or the "Gucci" mother Kering each rose by around 2 percent.

Copper, whose top buyer is China, was also in demand.

The industrial metal rose in price by 0.4 percent to $8412 a ton.

"While investors are starting the week with optimism, caution is the order of the day," warned Naeem Aslam, chief market analyst at brokerage Ava-Trade.

“Many are skeptical about the current rally and are wondering whether it is sustainable or whether it is just a “dead cat bounce”. Stock market traders use the image of the dead cat jumping up again for short-term price recovery in a longer-term downward trend.

G7 summit moves commodity prices and share prices

At the same time, stockbrokers followed the summit of heads of state and government of seven leading industrialized countries (G7) closely.

Among other things, an embargo on Russian gold imports was discussed there, but no decision was made.

Should it come to that, it would only be a symbolic act, warned analyst Jeffrey Halley of brokerage house Oanda.

It would not significantly change the supply and demand situation.

The precious metal nevertheless rose in price by 0.6 percent to $1,838 per troy ounce (31.1 grams).

Also on the agenda was a temporary waiver of biofuel admixtures in fuels.

According to an insider, this initiative to combat rising food prices, which is supported by Germany, among others, has no chance of winning a majority.

The shares of the German biofuel supplier Verbio then rose by almost 5 percent.

"The worst possible scenario for Verbio has been averted," commented analyst Jonah Emerson from Bankhaus Hauck Aufhäuser.

The waiver would have meant a significant drop in demand and pushed the company into the red.

Biontech stocks were also in demand, increasing in price by 6.5 percent.

Tests for the Mainz-based company's vaccine, which was adapted to the omicron variant of the coronavirus, had delivered encouraging results.

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