European markets are set to open higher on Monday morning after a firm lead by U.S. stocks in the previous session and as Germany looks closer to forming a new government.

The FTSE 100 is expected to start higher by 9 points at 7,715; the German DAX is seen up by 78 points at 13,383 and the CAC 40 is set to open up by 22 points at 5,485, according to IG.

In Asia, stocks were trading mixed despite a strong session on Wall Street Friday. The Dow has set a new record for the best start to a year since 2006, as President Donald Trump cut the corporate tax rate to 21 percent from 35 percent and after new data showed lower-than-expected jobs numbers.

In Europe, Chancellor Angela Merkel of Germany sounded optimistic about reaching a deal with the Social Democrats and thus avoiding fresh elections. In the U.K., Prime Minister Theresa May said over the weekend there would be a cabinet reshuffle this week.

In the corporate world, Hershey and Ferrero are racing to buy Nestle‘s U.S. candy business. Airbus is trying to reach new deals with China on the A380 as the French company works to get new costumers. The deal is part of a trade mission by President Emmanuel Macron during his first state visit to China.

In terms of data, Halifax is publishing its house price index at 8:30 a.m. London time and there will be consumer confidence and retail sales out for the euro zone at 10 a.m. London time.