European Market Update 03 Sept 2018

Posted by Tim Sholl on 03-Sep-2018 23:24:43

US markets are closed tonight for Labour Day public holiday.

European investors continue to focus on the future strength of the world economy on the back of trade turmoil as the US tries to change trade deals with major partners.

Comments by Trump that he does not need Canada to be in any NAFTA deal threatens to cause concerns and also the threat to hit China with tariffs on up to US$200 bn of imports have done nothing to improve sentiment and caused weakness in Chinese and European stock indices while US indices have remained close to record levels. The US Dollar has improved against most major currencies. Bond yields in general continue to move lower as funds move from stocks into bonds.

More politicians are turning away from PM Teresa May and her Brexit ideas has caused a large continuation in GBP weakness but interestingly the FTSE index has improved today.

Latest prices are :

FTSE 7504 up 0.98% / DAX 12315 down 0.40% / CAC 5405  flat / MIB 20269 down 1.10%.

EUR 1.1612 up 0.09% / GBP 1.2863 down 0.72% / JPY 111.12 flat / DXY 95.11 up 0.03%

Gold 1200.20 flat / Brent Crude Oil 78.12 up 0.66%

US10 2.83% / UK10 1.43% / DE10 0.34% / IT10 3.11%

In economic news earlier we have seen Manufacturing PMI data out in Europe and we saw slight strength in the French number , but weakness in German , UK , and EU zone compared to expectations.


Topics: Trading, Market News, European Market Update