Stocks - Europe Seen Lower; Thyssenkrupp in Focus

Stocks - Europe Seen Lower; Thyssenkrupp in Focus

Investing.com  | Aug 13, 2020 07:09

Stocks - Europe Seen Lower; Thyssenkrupp in Focus

By Peter Nurse 

Investing.com - European stock markets are seen opening a little weaker Thursday, retracing after sharp gains Wednesday, with investors fretting over the pace of the economic recovery in the region. 

At 2:10 AM ET (0610 GMT), the DAX futures contract in Germany traded 0.2% lower, the FTSE 100 futures contract in the U.K. fell 0.9%, while CAC 40 futures in France dropped 0.3%.

On Wednesday, the DAX and the CAC 40 both closed nearly 1% higher, while the FTSE 100 posted a gain of over 2%.

German prices data, released earlier Thursday, showed deflationary pressures in Europe’s largest economy, with the July CPI figure coming in at -0.5% on the month and -0.1% on the year.

This contrasted with signs in the U.S. Wednesday of the pace of inflation gathering speed, pointing to economic recovery.

"The 0.6% month-on-month increase in July core CPI was jaw dropping," Jefferies (NYSE:JEF) said in a note. "It was the largest sequential jump since January 1991. While this momentum in pricing is unlikely to be sustained, the strength was broad-based and cannot be ignored."

In more positive news, the French unemployment rate fell to 7.1% in the second quarter, from 7.8% the previous quarter, much better than the jump to 8.3% expected.

More ominously, there is still no sign of a breakthrough in the stalemate in talks over the next U.S. stimulus package.

In corporate news, Thyssenkrupp (DE:TKAG) said a stabilization of some of its businesses helped it to keep the adjusted operating loss in its fiscal third-quarter to 679 million euros ($800 million), having said in May the loss may be as high as 1 billion.

Oil prices edged lower Thursday, consolidating after gains the previous session on the back of U.S. government data showing a fall in inventories, giving weight to the view that fuel demand is returning despite the coronavirus pandemic.

The U.S. Energy Information Administration said Wednesday crude stocks fell by 4.512 million barrels last week, against the 2.875 million-barrel draw in predictions prepared by Investing.com.

U.S. crude futures traded 0.4% lower at $42.50 a barrel, while the international benchmark Brent contract fell 0.4% to $45.23. 

Elsewhere, gold futures fell 0.4% to $1,940.55/oz, settling into a lower range registering all-time highs above $2,000. EUR/USD traded 0.4% higher at 1.1823.

Related News

Latest comments

Add a Comment
Please wait a minute before you try to comment again.
Discussion
Write a reply...
Please wait a minute before you try to comment again.

Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

English (USA) English (India) English (Canada) English (Australia) English (South Africa) English (Philippines) English (Nigeria) Deutsch Español (España) Español (México) Français Italiano Nederlands Polski Português (Portugal) Português (Brasil) Русский Türkçe ‏العربية‏ Ελληνικά Svenska Suomi עברית 日本語 한국어 简体中文 繁體中文 Bahasa Indonesia Bahasa Melayu ไทย Tiếng Việt हिंदी
Sign out
Are you sure you want to sign out?
NoYes
CancelYes
Saving Changes

+

Download the Investing.com App

Get free real time quotes, charts and alerts on stocks, indices, currencies, commodities and bonds. Get free top of the line technical analysis/predictors.

Investing.com is better on the App!

More content, faster quotes and charts, and a smoother experience is available only on the App.

';