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European stocks fall despite hopes of reaching corona vaccine

European stocks fall despite hopes of reaching corona vaccine

European stock indexes fell during Tuesday’s trading, despite hopes of a possible coronavirus vaccine and continued easing of closures undertaken by global economies.

As of 13:55 GMT, the Euro Stoxx 50 index slumped 0.44 percent to trade near 2,896.90 points.

German DAX 30 index descended 0.47 percent and now settles near 11,006.36 points, while French CAC 40 reached 4,462.95 points, down 0.79 percent.

Britain’s FTSE 100 Index ascended to 6,024.80 points, bringing its drop today to about 0.39 percent.

Despite increased risk sentiment among investors as the closure restrictions around the world continue to be gradually eased, the performance of European equities was weak due to the presence of uncertainty.

Positive news about biotech company Moderna reporting the first "positive" phase of the potential coronavirus vaccine failed to restore confidence in financial markets.

After two doses, all 45 participants in the experiment developed antibodies to the deadly virus, the Company said.

Asian stock indexes rose at the close of trading Tuesday, trailing overnight gains on Wall Street, where South Korea’s Kospi index ascended 2.25 percent to 1,980.61.

Moreover, President Donald Trump threatened to permanently cut off US funding for the World Health Organization in a message yesterday he shared through his own Twitter account.

The IMF chief said the global economy will take much longer to fully recover from the shock caused by the pandemic than initially expected.

Investors are also watching closely today for comments by Federal Reserve Chairman Jerome Powell during his testimony with Treasury Secretary Steven Mnuchin on relief and economic security plans before the Senate Banking, Housing and Urban Affairs Committee in Washington.

Meanwhile, the dollar index, which measures the performance of six major currencies against the US dollar, slump 0.29 percent at 99.38.

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