European markets opened the week on a strong footing on Monday, February 23, 2026, with broad-based gains across major indices. Investor sentiment improved markedly, driving solid advances in France, Germany, and across eurozone blue chips. The rally reflects renewed risk appetite and constructive positioning after recent periods of consolidation and selective volatility.

France and Eurozone Blue Chips Lead the Advance

France’s CAC 40 surged 1.39% to 8,515.49, leading regional performance. Gains were broad-based, with strength in industrials, consumer names, and financial stocks contributing to the robust advance. The move underscores growing confidence in core eurozone markets.

The EURO STOXX 50 climbed 1.18% to 6,131.31, reflecting renewed buying in large-cap eurozone companies. Financial and industrial sectors showed particular resilience, signaling that investors are rotating back into cyclical segments.

The Euronext 100 Index gained 1.12% to 1,834.10, highlighting strong performance among Europe’s leading multinational firms. The breadth of gains suggests participation beyond isolated national markets.

Germany and U.K. Join the Rally

Germany’s DAX advanced 0.87% to 25,260.69, supported by export-oriented and industrial stocks. The index’s move reinforces the constructive tone spreading across continental Europe.

In London, the FTSE 100 rose 0.56% to 10,686.89, extending its upward trajectory. Financials and commodity-linked shares contributed to the advance, reflecting renewed confidence in earnings stability and global demand conditions.

The broader MSCI Europe added 0.13% to 2,828.63, confirming overall positive participation, albeit with a more moderate gain compared to national benchmarks.

Currency Markets Support the Positive Tone

Currency markets offered mild support to equities. The Euro Index edged up 0.14% to 117.89, while the British Pound Index gained 0.13% to 134.81. The stability and modest appreciation in regional currencies suggest balanced macro conditions without significant volatility pressures.

While currency gains were limited, the absence of sharp swings contributed to a stable trading environment for equity investors.

Outlook

Looking ahead, the strong start to the week indicates that investor sentiment has shifted toward renewed risk-taking across European markets. Traders will closely monitor upcoming economic data releases, corporate earnings updates, and global market developments to assess whether this momentum can be sustained. Key risks include potential profit-taking after the sharp rally, renewed volatility in global markets, and uneven sector participation. However, opportunities remain in cyclical sectors and large-cap names benefiting from improving confidence and stable macro conditions. As the week progresses, market direction will depend on whether broad participation continues to drive gains or if consolidation returns following today’s robust advance.