British News Agency

The pan-European Stoxx 600 was up 0.2 percent in opening trade, with sectors and major bourses diverging. Tech, travel, and leisure stocks led gains, up 0.44 percent, while household goods shed 0.48 percent.

The upbeat start to October comes after European stocks closed lower on Monday, with almost all sectors and major bourses in negative territory.

Investors will focus on preliminary inflation data from the eurozone for September on Tuesday. Preliminary harmonized German inflation data released on Monday showed the country’s consumer price index eased to 1.8 percent in September, down from 2 percent in August.

The figures will likely boost the chances of another interest rate cut from the European Central Bank. Last week, preliminary data showed the harmonized inflation rate in both France and Spain plunged below the ECB’s 2 percent target in September.

U.S. stock futures were little changed on Monday evening after the S&P 500 closed at a record to the end of September.

Investors also reacted to comments by Federal Reserve Chair Jerome Powell, who said on Monday that the central bank is “not on any preset course” regarding the next steps for rate policy. He said to expect two more cuts this year — a quarter percentage point each — if the economy performs as anticipated.

Asia-Pacific markets traded mixed overnight. Some Asian markets, namely South Korea, Hong Kong, and mainland China, are closed for a public holiday on Tuesday. Mainland China will be closed for the rest of the week for the Golden Week holiday.