The FTSE MIB jumped nearly 2% to 40,687 on Monday, rebounding from Friday’s tariff-driven selloff as European markets regained footing. A weak US jobs report sparked a sharp shift in interest rate expectations, with markets now pricing in an 85% chance of a Fed rate cut in September. Uncertainty intensified after President Donald Trump fired the US labor statistics chief, fueling concerns about data credibility. In Milan, banks led gains: Mediobanca (+4.1%) rose after reporting higher earnings amid an ongoing takeover attempt by Monte dei Paschi (+3.5%). The deal is among the most closely watched in Italy’s banking sector, with Mediobanca also pursuing a separate bid for Banca Generali. Meanwhile, UniCredit (+3.5%) withdrew its offer for Banco BPM after Golden Power approval failed and is now turning its attention to increasing its stake in Germany’s Commerzbank to 30%.