European stocks finished the session firmly higher, with the Euro STOXX 50 rising 0.7% and the STOXX Europe 600 gaining 0.8%, extending a rebound from Friday's tech-led selloff as investors looked past near-term volatility.
Gains were broad-based, though the defense sector came under pressure after President Volodymyr Zelenskyy signaled Ukraine's willingness to drop its long-standing bid for NATO membership in exchange for alternative security guarantees, a shift that raised hopes for progress in peace talks resuming in Berlin.
Shares of Rheinmetall fell 2.6%, with Hensoldt and Renk also trading lower, weighing on defense names that had rallied sharply this year. Elsewhere, selective strength helped lift the broader market, with investors continuing to position ahead of a busy slate of central bank decisions this week, including from the ECB, the Bank of England, Sweden's Riksbank, and Norway's Norges Bank, all expected to hold rates steady while refining their economic outlooks.
Source: Trading Economi
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