We expect a positive sentiment during the European session

There is a strong start to the European session following Donald Trump's comments that he is expecting a deal within three to four weeks. At the same time, Chinese mediators have proposed a meeting between Xi and Trump as well as the announcement of the preliminary agreement. Investors will also react positively today after yesterday's events in the UK Parliament. Parliament approved Brexit extension for three months. However, the final result will need to be reviewed and approved by the EU as well. Brussels has ruled that the UK will have to justify the requirement for such an extension beyond March 29. The British pound reached a nine-month high after the news.

Indicative levels of opening of major European indices:

DAX: 11604 +16 points

FTSE: 7200 +22 points

CAC: 5349 +7 points

Ongoing indices point to a higher opening, expecting sentiment to remain positive across the European session. It seems that stocks and indices, regardless of the problems in Europe, are beginning to assess the effect of the ECB's new stimuli that will re-flood banks and improve some of the geopolitical risks. Now markets are abstracted from the rest of the information noise and focus on Brexit and trade talks.

Today we expect the Eurozone CPI at 12:00, and later we also have some macroeconomic data for the US.

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