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The pan-European STOXX 600 (STOXX) rose 1% in early deals to hit its highest level since March 9.
Lufthansa (DE:LHAG) surged 7.5% as its supervisory board approved a 9 billion euro ($10 billion) government bailout for the airline, driving Frankfurt-listed shares (GDAXI) up 2.6% to its peak since March 5.
With traders in Germany returning from a long weekend, Volkswagen (DE:VOWG_p), Daimler (DE:DAIGn) and BMW (DE:BMWG) gained between 4.5% and 7.7% on a Reuters report on Sunday that the country’s Ministry of Economics had proposed a 5 billion euro buyer bonus scheme to boost car sales.
Norway’s Seadrill (OL:SDRL) slid 9.3% as it announced a writedown of $1.2 billion on the value of its oil drilling rigs and warned it may have to convert a part of its $7.4 billion in debt into equity to survive.
Gains across the other markets were tempered by simmering U.S.-China tensions, with Wall Street futures coming under pressure as President Donald Trump vowed to use the military to halt protests over the death of a black man in police custody.
