The so-called “stock market bloodbath” has continued on Friday with major indices falling down to the lows of the last October. What's going on?
European equities conclude Monday on the rise
On Tuesday, European stock indexes jumped on lower fears about the soaring clashes in relations between the United States and China.
The rise of the market, however, limited the decline in quotations of equities of companies affiliated with Russia after the introduction of fresh sanctions against the Russian Federation.
The index of key businesses of the Stoxx Europe 600 region rallied by 0.13% to 375.30 by the end of the market.
The British FTSE 100 rose by 0.2%, the French CAC 40 gained by 0.1%, while the German DAX added by 0.2%. Additionally, the Spanish IBEX 35 added 0.6%, the Italian FTSE MIB rallied 0.5%.
During the weekend, several high-ranking statesmen in the American government discussed the situation with China. The overall tone of their statements softened considerably, which soothed investors to some extent.
What’s more – on Twitter the American President Donald Trump also shared a hope for a peaceful settlement of the issue.
It is believed that Chinese leader Xi Jinping might touch on trade issues when delivering his speech at the Boao Forum for Asia, which is going to be held on Tuesday.
The value of securities of the Swiss engineering company OC Oerlikon Corp., a share in which the group of Viktor Vekselberg Renova owns, went down by 8.4%.
The share price of Polymetal International Plc headed south by 18%, while the Austrian Raiffeisen Bank, mostly oriented to the Russian market, sank by 12%.
Shares of Deutsche Bank grew by 1.3% following yesterday's trade.
Equities of Swiss pharmaceutical giant Novartis dropped 0.1% on reports about the acquisition of American AveXis Inc. for $ 8.7 billion. By the way, the company has to do with gene therapy, which is crucial for treatment of hereditary diseases.
In addition to this, capitalization of the industrial group Rolls-Royce soared by 1.2%.
Besides coronavirus, other news has been driving the stocks of Apple, Wallmart and General Motors to the lower levels.
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