The United Kingdom
After starting this week on a stronger note and surging higher in the first two trading days, the United Kingdom’s FTSE 100 Index pulled back on Wednesday amid the dented market sentiment. The FTSE 100 Index opened slightly higher on Thursday. The index was trading with mixed sentiment in the morning session on Thursday.
The market sentiment weakened on Wednesday amid President Trump’s comments about trade talks with China and the summit with North Korean leader Kim Jong-un. The rebound in oil and mining stocks supported the FTSE 100 Index in the opening hours. European markets’ automaker stocks declined in the morning session on Thursday. President Trump launched a national security investigation on car and truck imports, which could lead to US auto tariffs. On the economic data front, according to the Office for National Statistics, the United Kingdom’s retail sales grew 1.6% in April. The market is looking forward to Bank of England governor Carney’s speech scheduled at 1:00 PM EST.
At 4:55 AM EST, the FTSE 100 Index was trading at 7,786.25 with a drop of 0.02%. The iShares MSCI United Kingdom (EWU) declined 1.3% to $36.76 on Wednesday.
After declining amid weak manufacturing purchasing managers’ index data, Germany’s DAX 30 Index opened lower on May 24. The index was trading with mixed sentiment in the morning session. German automakers are trading with weakness amid speculations about US tariffs on auto imports. On the economic data front, according to GfK, Germany’s GfK consumer climate declined to 10.7, which was below the forecast of 10.8.
At 5:00 AM EST, the DAX 30 Index was trading at 12,997.69—a gain of 0.16%. The iShares MSCI Germany (EWG) declined 1.7% on Wednesday.
France’s CAC 40 Index declined on Wednesday amid uncertainty about Italy’s political conditions and US-China trade concerns. On Thursday, the CAC 40 Index opened higher and traded with strength in the morning session amid the release of strong economic data. According to INSEE, the reading of France’s business survey in May was 109, which was better than the forecast of 108. At 5:10 AM EST on May 24, the CAC 40 Index was trading at 5,589.15—a gain of 0.42%. The iShares MSCI France (EWQ) declined 1.3% on Wednesday.
Next, we’ll discuss how US markets performed on May 23.