Stocks - Europe Seen Mixed; Stimulus To Be Ratified

Stocks - Europe Seen Mixed; Stimulus To Be Ratified

Investing.com  | Jul 22, 2020 07:16

Stocks - Europe Seen Mixed; Stimulus To Be Ratified

By Peter Nurse 

Investing.com - European stock markets are seen opening mixed Wednesday, with a torrent of earnings due while investors wait for the U.S. to agree its latest stimulus package.

At 2:15 AM ET (0615 GMT), the DAX futures contract in Germany traded 0.2% higher, the FTSE 100 futures contract in the U.K. fell 0.2%, while CAC 40 futures in France dropped 0.4%.

A day after European leaders signed off on their historic 750 billion-euro ($860 billion) recovery package to revive the countries hard hit by the Covid-19 pandemic, as well the bloc's next seven-year budget, worth about 1.1 trillion euros, the focus now turns to the ratification process.

“We do not expect the national parliaments to become a hurdle, but the EU parliament may likely be disappointed regarding the size of the final budget,” said analysts at Danske Bank, in a research note. 

At the same time, uncertainty reigns over the immediate prospects for more financial aid in the U.S., the largest economy in the world. In addition to major differences between the two main parties, Senate Republicans appear to be at odds both themselves and with the administration over how to craft the package. 

The debate comes amid signs that the economic recovery in the U.S. is leveling off amid a second surge in coronavirus cases. The U.S. death toll hit 141,000 on Tuesday, according to Johns Hopkins University, as  the country recorded over 1,000 deaths within a 24-hour period for the first time since June.

In corporate news, Fiat Chrysler (MI:FCHA) is in the news after the automaker announced an expansion of its partnership with self-driving car company Waymo to commercial vehicles. 

Industrial heavyweights Akzo Nobel (OTC:AKZOY) and ABB both beat expectations for the quarter through June, but a lot of the focus Wednesday will be on the likes of Tesla (NASDAQ:TSLA) and Microsoft (NASDAQ:MSFT), who are due to release earnings on Wall Street later.

Elsewhere, oil prices retraced after a bigger-than-expected crude inventory build in the United States, suggesting a dent in demand from the world's biggest oil consumer.

The American Petroleum Institute reported late Tuesday that U.S. inventories rose last week by 7.5 million barrels when expectations had been for a small draw.

At 2:15 AM ET, U.S. crude futures traded 0.6% lower at $41.69 a barrel, while the international benchmark Brent contract fell 0.4% to $44.13.

Elsewhere, gold futures rose 0.9% to $1,860.55/oz, while EUR/USD traded at 1.1527, flat on the day.

 

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.

';