European stocks were expected to open higher on Tuesday after shares fell slightly on Monday’s close. In London, the FTSE [.FTSE 5938.87 57.88 (+0.98%) ] will reopen on Tuesday after a public holiday and is expected to rise by 42 points to 5,981. In Germany the DAX [.GDAXI 7160.30 -3.17 (-0.04%) ] is expected to open 57 points higher, while the CAC [CAC40 3942.53 --- UNCH ] is predicted to be 27 points higher on Tuesday’s open. In Asia, stocks rose on Tuesday as investors responded to the news that Japan’s industrial and manufacturing activity was showing signs of rebounding after the earthquake in March. However, credit rating agency Moody’s placed Japan’s sovereign ratings on review for possible downgrade, citing concerns about policy responses to sluggish economic growth prospects. German nuclear power plant operators RWE and E.On fell 1.9 percent and 2.5 percent respectively on Monday’s news that Germany intends to close all of its nuclear reactors by 2022. The euro [EUR=X 1.4379 0.0097 (+0.68%) ] jumped to a three-week high against the dollar [.DXY 74.58 -0.37 (-0.5%) ] Tuesday, on a report in the Wall Street Journal that Germany was ready to compromise to reach a deal on a second bailout for Greece. The euro ended Monday 0.72 percent higher at $1.4326 at the end of an otherwise lackluster day due to holidays in the UK and US. In politics, Eurogroup’s Jean-Claude Juncker said he is “quite optimistic” about a new aid plan for Greece, adding that a total restructuring of Greek debt is not an option. But an unnamed EU official has said the EU may press Greek banks to be repaid later as part of a European Union plan to remedy the country’s dire budget outlook. The official added any such move would need to be approved by other euro zone governments. In Germany, May’s unemployment figures will be released at 09:00 am London time. In France, April’s Producer Price Index will be released at 07:45 and unemployment data for the European Union will be available from 10:00.

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