With the Chinese rally hitting the skids, another 60,595 covid-19 cases in the US on Thursday, and concerns about the pace of the global economic recovery, Europe stumbled out of the gate.
Despite the tech-heavy Nasdaq hitting all-time highs, the Dow Jones closed 360 points lower at the end of yesterday’s trading, leaving it barely above 25700.
That decline informed the Asian session overnight, and has now fed into the European open, even if the losses were, for the time being at least, on the milder end of the spectrum.
The FTSE slipped another 0.4%, continuing a miserable run for the UK index that has seen it fall from intraday highs of 6300 on Monday, to a one month low of 6030. It appears that the re-opening plans announced by the government – including spas, salons, nail bars, outside theatres, gyms and pools – hasn’t done a lot for the FTSE, which is quite rightly instead focusing on the continued acceleration of the pandemic in the US and globally.
The DAX, which at points was up quite handsomely on Thursday, dipped 0.2%, forcing it the wrong side of 12500, with the CAC under 4900 following a 0.4% slide.
If the Dow futures are anything to go by, those losses could intensify this afternoon. The US index is currently facing a 170 point drop when trading gets underway stateside, a decline that would take it to a July low of 25530.
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