Markets in Europe are set to start the week higher as political uncertainty in Italy eased and investors await a rate hike decision from the U.S. Federal Reserve later within the week. Shares in China have tumbled overnight after Beijing imposed stricter regulation on stock purchases by insurers, while President-elect Trump questioned nearly four decades of policy in the Far East. In today’s Asian Markets Hang Seng lost 1.7 percent as of 7:31 while China A50 closed 1 percent lower. Japan’s Nikkei closed 0.8 percent higher while India’s Nifty is also on a downtrend, trading 0.7 percent lower at 8199.95 as of 7:30 GMT.
Air giant Boeing announced Sunday an agreement to sell 80 jetliners to Iran Air, the planes are valued at $16.6 billion at list prices. This comes as the first major agreement between a U.S. company and Iran since the removal of sanctions on Tehran. This agreement is seen as positive for the U.S. economy as it is expected to support tens of thousands of jobs directly associated with the production and delivery of the aircrafts. It would also support nearly 100,000 U.S. jobs in the U.S. aerospace. It is worth noting that Boeing’s current U.S. supply chain supports more than 1.5 million U.S. jobs.
Oil prices sky rocketed to their highest levels since mid-2015 today after OPEC and other producers reached their first output cut deal since 2001. Crude Oil futures added 5.1 percent to last trade at $54.12 while Brent Oil added 4.5 percent at $56.77 as of 7:40 GMT. With the deal signed the Organization of the Petroleum Exporting Countries seems to have regained the trust of the markets as the new agreement has brought an extreme uptrend on oil related commodities. AB Bernstein has stated the agreed deal amounts to a substantial supply cut of 1.76 million barrels per day from 24 countries.