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?
Trade negotiations provoke timid relief rebound in EU equities
On Thursday, European equities rebounded right after the Chinese government told it would hold trade negotiations with America in Washington a bit later this month, thus causing a recovery in investors' risk appetite on expectations of a trade conflict relief.
The STOXX 600 jumped by 0.2%, offsetting some of the previous session's losses that had brought it to a six-week minimum because emerging markets found themselves on bear territory.
Mining stocks turned out to be the top performers, adding 1.2% having had their worst day since the Brexit vote on Wednesday exactly when metals prices went down.
Outcomes powered some steep moves with copper miner Kaz Minerals as well as electronic payments company Wirecard leading the pack.
Kaz Minerals, Kazakhstan-focused miner managed to ascend by 7.1% having uncovered its first dividend since 2012 and also posting firmer first half profits.
Wirecard stocks inched up by 5.2% after the electronic payments company had its 2018 profits guidance raised, thus making it more probable that it’s going to have Commerzbank replaced during the next reshuffle of the DAX index.
In addition to this, Swedish retailer ICA edged down about 4.8% having informed that second-quarter profits dived more than anticipated.
The equities of Dutch marine as well as engineering company Boskalis slipped by 5% after it posted first-half profits, which missed forecasts because of loss-making transport activities at the company’s offshore energy division.
The stocks of Kingfisher went down by 3.4% after the home improvement retailer posted weaker performance at its French brand Castorama, although the company told that sales rallied due to a Europe-wide heatwave soaring demand.
The stocks of Italian motorway operator Atlantia slumped right after pre-market indications saw them diving nearly 49%.
Atlantia told its bondholders and shareholders could be impacted after Italy's authorities told they intend to deprive the group's Autostrade unit of its motorway concession and slap heavy fines after the terrible collapse of a motorway bridge that took place in Genoa.
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 $20 per barrel just in the beginning of the day. Currently - above 25$.