Losses were recorded in the main indices of the European stock markets at the opening of the session on Tuesday (16/7), with investors evaluating the economic and political prospects of the region and the ahead.
Auto-related stocks posted losses, falling 1.35%, while mining stocks also lost 1.34%.
Shares in German fashion house Hugo Boss fell more than 10% after the company cut its full-year sales outlook amid “persistent macroeconomic and geopolitical challenges”. Burberry stock also traded 3.3% lower, a day after the data rang the bell on weak demand for luxury goods.
World markets are also weighing comments from Federal Reserve Chairman Jerome Powell, who said the central bank will not wait until inflation hits 2% to cut interest rates. “If you wait until inflation is below 2%, you’re probably waiting too long,” he said on Monday.
His comments, coupled with expectations that the failed assassination attempt on Republican presidential nominee Donald Trump would lead to big gains for the party and friendlier fiscal policies from the Trump administration, sent Wall Street higher yesterday.
In this context, at the opening of the session on Tuesday (16/7), the pan-European Stoxx 600 index fell 0.58% to 515.72 points.
Germany’s DAX was down 0.64% at 18,481.65, France’s CAC 40 was down 0.80% at 7,573.01, while Britain’s FTSE 100 fell 0.46% at 8,144.93.
In the region, Italy’s FTSE MIB fell 0.88% to 34,072 points, while in Iberia Spain’s IBEX 35 fell 0.99% to 11,035.49 points, with Portugal’s PSI 20 gaining 0.30% to 6,726.06 points.