European markets react to lifting of coronavirus lockout

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European stocks traded in positive territory on Monday morning as the lifting of the closure continued across the continent.

The pan-European Stoxx 600 added 0.6% at the start of the session, with automobiles jumping 1.6% to lead the gains as all sectors and the major exchanges went into the dark.

European investors continue to follow developments in the region, with countries gradually lifting lock restrictions. Prime Minister Boris Johnson on Sunday announced interim measures to reopen the economy and public life.

As of Monday, citizens who cannot work from home are “actively encouraged” to return to work, but avoid using public transport if possible. People will also be allowed to do an unlimited number of exercises starting on Wednesday. Children could return to school from June 1, he said, but lifting the restrictions will depend largely on the data and the decline in coronavirus infections.

Meanwhile, in France, shops and hair salons open on Monday and people no longer need a permit to travel. Schools for young children and nurseries are also reopening.

Asian stocks rose Monday morning as hopes of reopening economies rose, but caution is needed after the United States recorded 20.5 million job losses in April Friday .

US Treasury Secretary Mnuchin warned that unemployment figures could “get worse before they get better.” He said Sunday that the unemployment rate in the United States may already have reached 25% as the administration seeks to reopen the economy.

The biggest movers

Virgin Money stocks in the UK jumped more than 9% to lead the Stoxx 600 to the start of negotiations, while Germany’s Wirecard jumped more than 8%.

At the other end of the European benchmark, the stock of easyJet fell 6% after the British government announced initial plans for quarantine requirements for incoming travelers to prevent a second wave of coronavirus infections, further discouraging air travel.

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