European Stocks and Currencies Experience Mixed Trading
The German Dax index experienced a moderate start on Tuesday, slipping into the red zone by midday. By 12:30 pm, the benchmark index was calculated at approximately 24,045 points, a 0.5% decline from the previous trading day. Leading the gains were Porsche, BASF and Qiagen, while Rheinmetall, Commerzbank and Zalando lagged behind.
Market expert Andreas Lipkow attributed the investors’ decision to take some profits on the Dax companies to the wait-and-see approach during the negotiations between China and the United States. There were concerns that the meeting in England might not yield the expected breakthrough. “The tariff issue is very complex and the Chinese government wants to emerge from this dispute with its dignity intact” he said.
Lipkow also noted that the upcoming EU summit would be a closely watched event, with the European Union’s representatives set to engage in intense negotiations. The starting point for these talks was vastly different from the China-US trade talks.
Meanwhile, the euro strengthened slightly, with one euro equivalent to 1.1422 US dollars and the US dollar fetching 0.8755 euros. The price of Brent crude oil, a North Sea variety, rose to 67.35 US dollars per barrel by 12 pm CET, a 0.5% or 31-cent increase from the previous day’s close.