Confirmation of a decent German Q1 GDP reading – and a solid showing from the Eurozone as a whole – seemingly meant little to the region’s indices.
The DAX shed half a percent, sinking towards 11900 as it gave back a chunk of Tuesday’s tough to explain rebound. The CAC was in a similar state, news of France’s 0.3% Q1 growth failing to prevent the bourse from dropping 0.4%. Elsewhere the IBEX was down 0.4%, with the FTSE MIB plunging 1.2% after Deputy Prime Minister Matteo Salvini threatened that Italy could break the EU fiscal rules.
Though its mining stocks only worsened as the day went on, shaken by a trio of dreadful figures out of China overnight, the FTSE avoided the kind of losses seen by its Eurozone peers.
The UK index instead sat flat at 7230, propped up somewhat by gains from GlaxoSmithKline (LON:GSK), Barclays (LON:BARC) and HSBC (LON:HSBA), alongside a 2.5% increase from Compass Group (LON:CPG) after the firm upgraded its full year forecasts.
Like the Eurozone, the Dow Jones doesn’t appear to be feeling too chipper this Wednesday, spent after yesterday’s overeager comeback. The futures have the index dropping under 25500 following a 40 point slide, though with a retail sales reading – expected at 0.2% against the previous month’s 1.6% – as a potential catalyst for change before the bell rings.
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