Peter Nurse 

Investing.com: European stock markets will open lower on Monday. This is to allow investors to assess the prospects for global economic growth in the face of rising geopolitical tensions.

2.05 am ET (0600 GMT): The German contract traded 0.3% lower while France’s contract fell 0.4%. Meanwhile, the U.K contract was down 0.6%.

European equities are seen suffering from a weak handover Monday, with U.S. stock futures lower ahead of a spate of difficult retail earnings reports while shares in Asia gave up early gains after disappointing economic data from China, the region’s main economic driver.

China’s April drop of 11.1% was almost double the predicted decline. However, it fell 2.9% instead the slight increase anticipated. These are just two examples of the severe damage COVID lockdowns caused to China’s second-largest country. 

The European Union will publish its economic forecasts in Europe later in the session. Markets will also be watching to determine the effect of the Ukraine conflict and the soaring inflation rate on their growth projections. On February 20, the EU economy would grow 4.0% in 2022 and 2.8% 2023. 

Investors will also be keeping a close eye on geopolitical developments as moved closer to applying for membership in NATO, ending years of neutrality as Russia’s invasion of Ukraine forced the two Nordic nations to reassess their positions.

The entry of Sweden and Finland would significantly extend the alliance’s border with Russia, a move that will annoy Moscow which has consistently warned the pair of potential consequences.

Ryanair (IR), a corporate company, is in high demand. The budget airline has suffered an estimated 355 million Euro ($369 Million) loss each year.

Renault (EPA:). Monday’s announcement by EPA stated that it would sell Avtovaz, its major stake in the carmaker, to a Russian science institution. The deal also included a 6-year option for the buyer to purchase the stake back.

The signs of weakening Chinese demand led to oil prices falling Monday. However, the price per barrel remained high as the European Union imposed an import ban against Russian crude. It further raised global supply.

China, the world’s largest importer of oil, processed 11% less crude in April than a year earlier, according to data released earlier Monday, with falling to the lowest since March 2020 as refiners slashed operations in the face of dwindling demand due to widespread COVID-19 lockdowns.

The futures closed 1.4% below $107.08/barrel at 2:05 AM ET. However, the contract dropped 1.8%, to $109.08.

Both benchmarks saw sharp gains Friday and WTI contracted recently reached its highest point since March 28. Despite concerns over supply in Eastern Europe, the European Union is still likely to approve a gradual embargo on Russian crude oil.

Furthermore, the price of gold fell 0.2% at $1,804.89/oz while it traded 0.1% lower to 1.0400.