The euro gained with Eastern European currencies as the region’s leaders scrambled to offer Ukraine their support amid concerns of a US pullback.
The common currency rose 0.4% against the dollar, outperforming major peers.
The Polish zloty and Romanian leu also climbed. European equity-index futures pointed to a stronger open, tracking Asian stocks higher.
Markets are starting the week with geopolitics dominating as European leaders assemble what Britain called a “coalition of the willing” to secure Ukraine following an Oval Office clash between US President Donald Trump and Ukrainian President Volodymyr Zelenskiy.
China is also due to stage its biggest political huddle of the year just as US tariffs threaten to test Beijing’s ability to boost economic momentum.
“The US turnaround is certainly a historic opportunity for Europe to tackle the subject of an autonomous European defense with potentially very positive economic ramifications since we know that many innovations with military application can have significant civilian benefits – the internet for example,” said Christopher Dembik, senior investment manager at Pictet Asset Management.
“But beware of excessive optimism.”
