U.S. and European exchanges closed on the upside

The major U.S. stock indices ended Monday on a positive note after a 3% decline on Friday. By the end of the day the Dow Jones gained 1.87%, the S&P 500 gained 2.66% and NASDAQ gained 3.43%.

In Europe the German DAX added 1.7%, British FTSE 100 gained 0.9% and French CAC 40 gained 0.9%. The impetus for them was the growth on the U.S. platforms. Besides, the statement of the new head of the British Ministry of Finance about his intention to raise corporate taxes by 6% and return the income tax to its previous high value of 20% acted as a driver. Thanks to this, the official expects to bring to the budget about £32 billion annually.

In general, experts note that the behavior of stock indices now looks like a rally in a bear market - in these cases there are usually temporary rallies, followed by a continuation of the sales. Stocks may at some point begin to rise actively because investors believe they are already cheap enough to buy - a similar pattern was seen last week, some players say.