European markets closed firmly in positive territory on Monday, February 9, as investors embraced risk across equities and currencies. The session marked a broad-based advance, suggesting renewed confidence following recent volatility and positioning Europe favorably within the global market landscape.

Equities Advance Across Core European Benchmarks

The MSCI Europe Index rose 1.27% to 2,801.64, reflecting widespread participation across sectors and geographies. Germany’s DAX gained 1.09% to 24,991.51, continuing its strong performance and remaining near record territory. The move highlights sustained interest in Europe’s largest economy, even as investors weigh slowing growth signals against improving corporate resilience.

The EURO STOXX 50 added 0.91% to 6,053.23, indicating solid performance among Europe’s blue-chip companies. Gains were not limited to a single market or sector, reinforcing the view that capital flows are returning to European equities in a more coordinated fashion rather than selectively.

France and Broader Continental Markets Follow Higher

France’s CAC 40 closed up 0.50% at 8,314.96, extending its recovery after a period of consolidation. Meanwhile, the Euronext 100 Index advanced 0.78% to 1,801.86, reflecting strength across multiple European exchanges.

These moves suggest that investors are increasingly comfortable re-engaging with continental markets, particularly as earnings expectations stabilize and fears of abrupt policy tightening ease. However, the more moderate gains relative to Germany indicate a degree of caution remains, especially in economies facing uneven growth trajectories.

Currency Strength and UK Markets Add to the Picture

European currencies provided additional support to sentiment. The Euro Index rose 0.71% to 118.95, while the British Pound Index increased 0.40% to 136.67. Currency strength can signal confidence in regional economic stability, while also influencing cross-border capital flows into European assets.

In the UK, the FTSE 100 edged higher by 0.07% to 10,376.60, underperforming continental peers but still closing in positive territory. The more subdued move reflects the index’s heavier weighting toward defensive and internationally exposed companies, which tend to react differently to shifts in currency and global growth expectations.

Looking ahead, investors will be watching whether European markets can build on this momentum or face renewed pressure from macroeconomic data, central bank communication, and geopolitical developments. Key risks include uneven growth across the region and potential volatility in currency markets, while opportunities may emerge if earnings resilience continues and global risk sentiment remains supportive. The ability of European indices to hold recent gains will be a critical signal for confidence in the weeks ahead.