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?
Main EU indexes edge up
On Friday, European markets tacked on right after Italian parties managed to avert the prospects for early elections. However, renewed worries as for the global trade conflict limited gains.
The European index Stoxx 600 managed to acquire up to 1% during the morning trading session, with all large exchanges and sectors in positive territory.
Among the national indexes, the Italian FTSE MIB jumped by about 2.6% after President Sergio Matarella appreciated a coalition deal between populist political parties in Italy. The previous week the third largest economy of the European Union that has faced months of political uncertainty, sparked unrest in financial markets worldwide.
The European banking index turned out to be the top performer with its 2% leap because equities of Italian financial institutions managed to grow on news that on Friday the coalition government should be sworn in. Ubi Banca and Banco BPM appeared to be leading industry executives, and both traded with a leap of more than 6%.
Besides this, on Friday the chief executive officer of Deutsche Bank told that Germany's number one creditor is in good shape in terms of financial stability. These remarks showed up after S&P had the bank's credit rating lowered to BBB + from A-. As a result, Deutsche Bank's equities ascended 1.5% during the morning trading session.
Considering individual equities, on Friday Elior Group managed to get to the top of the European index right after Credit Suisse extended its recommendation on stocks to "above the market." As a matter of fact, equities of the French catering company gained 6%.
Elekta, the Swedish manufacturer of radiation equipment went down to the bottom of the index having posted a weaker than anticipated outcomes for the fourth quarter. The company's equities were nearly 4% lower on news.
Besides coronavirus, other news has been driving the stocks of Apple, Wallmart and General Motors to the lower levels.
Will coronavirus continue keeping the markets in fear? What releases should we wait for? Find out in the news!
WTI oil prices jumped up after Donald Trump’s 2 tweets
Today the US nonfarm payroll data will be reported that could cause fluctuations of the market.
WTI was at $20 per barrel just in the beginning of the day. Currently - above 25$.