Peter Nurse 

The European Stock Markets were largely flat Monday. They lack real direction as the week begins with key U.S. inflation data and more earnings from third quarter.

At 4:50 AM ET (0850 GMT), the in Germany traded 0.1% lower, the U.K.’s was flat and the in France rose 0.1%.

There will be a variety of central bankers speaking this week. Federal Reserve Chairman Jerome Powell is particularly interesting at 10:30 AM ET (1530 GMT) due to last week’s U.S. central Bank decision to stop buying bonds and to taper them.

The Fed stuck to the view that high inflation would prove “transitory” at last week’s meeting, and the market’s belief of this could be tested this week with October numbers expected to hit fresh multi-year highs.

In Europe, Philip Lane, the European Central Bank’s chief economist, stated in an interview published Monday that Eurozone inflation would ease in the next year. This was in line with the bank’s long-standing message that price growth is only temporary. Andrew Bailey, Bank of England Governor, may be able to limit the damage done by the bank’s communication strategy. This is after the Bank of England reversed a widely expected interest rate rise.

Covestro (DE) shares rose 2.5% in corporate trading after Covestro, a German chemical maker, raised its full year profit guidance after reporting an 89% increase in earnings for third quarter.

The flipside is also possible PostNL AS: The stock dropped 3.5% following a decline in earnings by the Dutch postal company in the third quarter. This was due to slower global volume growth and disruptions within the global supply chain. France Bouygues After Engie agreed to purchase Engie’s Equans services unit for $8.2 million, the stock of (PA) fell 4.0% while Engie stock (PA::) rose 0.7%.

Monday’s focus will also be on the travel industry, with Air France KLM stock rising 1.7%, SAS stock increasing 2.1%, and Tui stocking up 0.6% as the U.S. eases travel restrictions which have prevented many foreign visitors from entering since last year. This is what comes next Pfizer ‘s  (NYSE:) trial results for its antiviral Covid pill gave travel stocks a fresh boost on Friday.

Crude oil prices rose Monday, after Saudi Aramco (SE: ) Friday’s official selling price increase for the crude oil indicated that its demand continues to be strong despite rising prices.

Futures were trading 1% higher at $82.11 per barrel by 4:50 am ET. Contracts rose 0.9% to $83.51.

Additionally, it fell 0.1% to $1815.50/oz. However, it traded 0.1% lower at 1.1572.