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European Shares Set To Open On Tepid Note

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European stocks are seen opening on a cautious note Monday as Treasury yields continue to climb amid the outlook for better economic growth and more fiscal stimulus.

Benchmark 10-year Treasury yields rose to 1.3940 percent, their highest since Feb. 2020 on concerns about faster inflation.

Asian markets pared early gains as rising copper and oil prices fanned price pressures.

Copper hit the highest in more than nine years on bets that increased demand driven by the recovery from the pandemic will spur a historic deficit.

Crude oil climbed toward $60 a barrel as traders assessed the fallout from the big freeze across Texas.

Gold prices rose on dollar weakness, while Bitcoin hit another peak rising above $58,000, spurring a rally in the shares of Asian cryptocurrency stocks.

The British pound hit its highest since April 2018 as investors await a roadmap out of lockdown set to be announced by Prime Minister Boris Johnson in a speech to Parliament later today.

European Central Bank President Christine Lagarde is expected to sound dovish in a speech later in the session.

Federal Reserve Chair Jerome Powell's testimony will take place Tuesday before the Senate Banking Committee and on Wednesday before the House Financial Services Committee. He is expected to reiterate a commitment to keeping policy super easy for as long as needed to drive inflation higher.

U.S. stocks ended narrowly mixed on Friday as treasury yields continued to rise and investors rotated out of technology-related companies.

Meanwhile, new Treasury Secretary Janet Yellen urged lawmakers to approve President Joe Biden's $1.9 trillion relief package, saying the proposal could help the U.S. get back to full employment within a year.

European markets advanced on Friday as investors reacted to quarterly earnings reports and the latest batch of economic data from the euro area and the U.S.

The pan European Stoxx 600 gained half a percent. The German DAX and France's CAC 40 index both rose about 0.8 percent, while the U.K.'s FTSE 100 inched up 0.1 percent.

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