Seoul Gazette - European stocks aim higher despite recession worries

Bitcoin regained $20,000 after sinking to an 18-month low of $17,599 in weekend deals because risk-averse investors had shunned the world's most popular cryptocurrency.

London equities rallied 1.0 percent in midday deals on Monday, with sentiment boosted by news of a blockbuster takeover offer for publisher Euromoney.

But the eurozone was more muted. Frankfurt stocks were up 0.5 percent and Paris gained just 0.3 percent, while oil prices languished on stubborn demand concerns.

Markets were rocked last week by a fierce sell-off after the US Federal Reserve's sharp interest rate hike -- the biggest in nearly 30 years -- and a warning of more to come as inflation soars.

"Stability often comes before recovery and markets being more composed would suggest investors are no longer panicking," said Russ Mould, investment director at broker AJ Bell.

Investors digested news that French President Emmanuel Macron and his allies faced political deadlock after losing their parliamentary majority in a stunning blow for the president and his reform plans.

Wall Street, shut on Monday for a US public holiday, had risen on Friday.

There is a sense among traders, however, that stock markets still have some way down to go before they find a bottom, with data suggesting economies are beginning to feel the pinch.

Cleveland Fed chief Loretta Mester added to the worry. She said the risk of a recession in the United States was increasing and it would take several years to bring inflation down from four-decade highs to the bank's two percent target.

She told CBS's "Face The Nation" on Sunday that while she was not predicting a contraction, the Fed's decision not to act sooner to fight rising prices was hurting the economy.

Analysts warned there was likely to be more pain ahead for traders as the Ukraine war drags on and uncertainty continues to reign.

Oil prices slid on Monday, extending Friday's hefty losses on demand worries caused by the prospect of a world recession.

However, US Energy Secretary Jennifer Granholm said prices could continue to surge if the European Union cuts off imports of the commodity from Russia in response to the Ukraine war.

- Key figures at around 1115 GMT -

London - FTSE 100: UP 1.0 percent at 7,085.94 points

Frankfurt - DAX: UP 0.5 percent at 13,192.85

Paris - CAC 40: UP 0.3 percent at 5,900.21

EURO STOXX 50: UP 0.6 percent at 3,457.35

Tokyo - Nikkei 225: DOWN 0.7 percent at 25,771.22 (close)

Hong Kong - Hang Seng Index: UP 0.4 percent at 21,163.91 (close)

Shanghai - Composite: FLAT at 3,315.43 (close)

New York - Dow: DOWN 0.1 percent at 29,888.78 (close)

Euro/dollar: UP at $1.0538 from $1.0499 late Friday

Pound/dollar: UP at $1.2256 from $1.2241

Euro/pound: UP at 85.98 pence from 85.77 pence

Dollar/yen: DOWN at 134.74 yen from 135.02 yen

Brent North Sea crude: DOWN 0.4 percent at $112.72 per barrel

West Texas Intermediate: DOWN 0.2 percent at $109.38

T. Jones--BTZ