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European shares fall from record high, trade deal eyed

European shares fall from record high ahead of holidays

European shares indexes fell in early trading on Monday, breaking record highs at the end of last week's session, while investors are waiting for the latest developments of the (phase one) trade agreement.

As of 09:00 GMT, the Euro STOXX 600 tumbled 0.34 percent to 418.30. France CAC 40 was 0.29 percent down at 6,019.48 and Germany’s DAX descended 0.42 percent to 13,281.55. In Britain, FTSE 100 decreased 0.25 percent to 7,625.45.

The red color dominated European stock markets amid weak trading activities on the back of the New Year holidays, as it closes its doors to investors next Wednesday on official leave.

European shares closed on last Friday at record highs, supported general optimism about the future of U.S.-China trade relations.

Global equities have been on the rise since the announcement of the first phase of the US-China trade deal earlier this month.

Treasury Secretary Steven Mnuchin said: The two sides are currently in the process of converting the trade agreement into a written text, likely to be signed early next month.

In Asia, Stocks saw a mixed performance at the close of Asian trading on Monday. The Hang Seng index ended the day up 0.33 percent at 28, 3319.35, after reaching the highest levels in five months last Friday.

China’s CSI 300 index climbed 1.48 percent and closed at 4,081.63, while Shanghai Composite Index rose 1.16 percent and ended at 3,040.02.

In the same vein, China's central bank has announced that the base loan rate (LPR) will become a new benchmark for current floating-rate loans over the weekend.

Meanwhile, the dollar index, which measures the performance of six major currencies, slumped by 0.01 percent at 96.47, the lowest level in nearly three weeks.

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