After gaining for three consecutive trading days, the United Kingdom’s FTSE 100 Index started this week on a weaker note. However, the FTSE 100 regained strength on Tuesday and Wednesday. On Thursday, the FTSE 100 Index lost strength due to the pull back in US markets amid the tech sell-off. The market started the day weaker and traded with weakness in the morning session on Friday.
IT stocks in US markets reversed their direction midday on July 27 and triggered a sell-off. It dented the sentiment in Asian markets, which traded with weakness on Friday. Amid the dented sentiment, the FTSE 100 Index started the day lower on Friday. In addition to weakness in the technology sector, the firm euro is also weighing on the FTSE 100 Index. At 6:25 AM EST on July 28, the FTSE 100 Index was trading at 7,384.25—a fall of 0.85%. The iShares MSCI United Kingdom ETF (EWU) fell 0.44% to $34 on July 27.
After falling more than 3% last week, Germany’s DAX Index started this week on a weaker note by falling to three-month low price levels on Monday. However, the DAX Index regained strength amid Germany’s better-than-expected business confidence and second quarter earnings reports. On Friday, despite the release of stronger-than-expected consumer price inflation data, the DAX Index is weak in morning hours due to weakness in the technology sector and automobile space as well as the firm euro. According to the Federal Statistical Office Germany, the Germany consumer price index rose 0.4% in July—better than the market’s expected growth of 0.2%. At 6:30 AM EST on July 28, DAX was trading at 12,116.25—a fall of 0.78%. The iShares MSCI Germany ETF (EWG) fell 0.84% on July 27.
After falling last week, France’s CAC 40 Index regained strength this week. With improved sentiment, the CAC 40 Index gained in the first three trading days this week. The market lost momentum on Thursday and opened lower on Friday due to weakness in the technology sector. At 6:35 AM EST on July 28, the CAC 40 Index was trading at 5,115—a fall of 1.4%.
In the next part, we’ll discuss how the S&P 500, NASDAQ, and Dow performed on July 27.