European stocks edged higher at the start of the week, with the STOXX 50 rising 0.2% and the STOXX 600 adding 0.1%, following last week's strong rally that lifted both benchmarks to fresh record highs. Investors shifted their focus to corporate developments and company-specific news ahead of the start of the earnings season. Travel and leisure stocks led the gains, with EasyJet surging nearly 10% after the airline agreed in principle to a £5.5 billion takeover bid from US private equity firm Castlelake. Luxury shares also advanced, with LVMH (+1.3%), L'Oréal (+1.2%), and Hermès (+0.9%) posting solid gains. Meanwhile, the technology sector lagged, weighed down by declines in ASML Holding (-1.5%) and Infineon Technologies (-3.2%).

Switzerland’s non-seasonally adjusted unemployment rate edged down to 2.9% in June 2026 from 3.0% in each of the previous two months, coming in below market expectations of 3.1%. This was the lowest jobless rate since November 2025, as the number of unemployed people decreased by 2.5 thousand from the previous month to 137.75 thousand. Unemployment fell across most cantons, with the largest decreases recorded in Wallis (-411), Graubünden (-281), and Aargau (-254). By sector, unemployment declined notably in construction (-786) and hospitality (-760). The unemployment rate among young people aged 15 to 24 held steady at 2.7%, while the rate for older workers aged 50 to 64 ticked lower to 2.6% from 2.7%. Meanwhile, reported job vacancies rose by 2.5 thousand to 47.2 thousand. On a seasonally adjusted basis, the jobless rate was unchanged at 3.1%.

Corn futures surged more than 2% to a fresh one-month high of $4.3 per bushel, after an intense heat wave damaged crops in France, one of the European Union's largest corn producers. FranceAgriMer reported deteriorating crop conditions after preliminary estimates indicated that extreme heat may have damaged nearly one-third of the country's corn crop, fueling expectations of tighter global supplies. Traders also monitored hotter temperatures across parts of the US, where any further deterioration in crop conditions could add to supply risks. Last week, the USDA estimated June 1 corn stocks at 5.295 billion bushels, below expectations, and projected planted acreage at 95.343 million acres, down from 2025. Markets now closely watch US-China trade developments after both countries agreed to include agricultural products in a reciprocal tariff reduction framework, boosting optimism for future US exports as Chinese buyers typically begin booking new-crop supplies from August.

The dollar index remained below 101 on Monday after posting weekly losses, as softer-than-expected US jobs data and lower oil prices led traders to scale back expectations for Federal Reserve interest rate hikes. Data released last week showed US nonfarm payrolls increased by just 57,000 in June, the smallest gain in four months and well below forecasts of 110,000, prompting markets to reduce bets on a September rate hike. Oil prices also edged lower as recovering energy flows through the Strait of Hormuz and the prospect of higher OPEC+ output fueled concerns about a potential supply glut. That has helped ease inflationary pressures that had previously bolstered expectations of further rate hikes. Investors now await the minutes of the Federal Reserve’s June policy meeting later this week for fresh clues on the outlook for interest rates.

Gold traded above $4,100 an ounce on Monday, holding onto most of last week’s gains as weaker-than-expected US jobs data and lower oil prices led traders to scale back expectations for Federal Reserve interest rate hikes. Oil prices edged lower as recovering energy flows through the Strait of Hormuz and the prospect of increased OPEC+ supply fueled concerns about a potential glut. That has helped ease inflationary pressures that had previously heightened fears of further rate hikes and weighed on non-yielding gold. Meanwhile, data released last week showed US nonfarm payrolls increased by just 57,000 in June, the smallest gain in four months and well below forecasts of 110,000, prompting traders to reduce their bets on a September rate hike. According to the CME FedWatch tool, the probability of a hike fell to 50%, down from 66% before the report.

Brent traded below $72 per barrel on Monday, hovering near its lowest levels since late February as recovering energy flows through the Strait of Hormuz and expectations of higher OPEC+ output fueled concerns over a potential supply glut. OPEC+ members approved another modest increase in collective production quotas for next month, with seven countries led by Saudi Arabia and Russia agreeing to raise output by 188,000 barrels per day. The decision reflects the group’s confidence in boosting production as conditions across the Middle East continue to stabilize. Major Persian Gulf producers have also been increasing supply, with Saudi Arabia’s exports climbing close to pre-war levels, while the UAE, which left OPEC during the conflict, has likewise restored shipments. Meanwhile, oil and gas tanker traffic through the Strait of Hormuz showed signs of normalizing on Sunday, a day after several vessels made unexplained U-turns and detours along the critical energy route.