As has tended to be the trend of late, Monday’s gory losses were followed on Tuesday morning by a wheezing attempt at a rebound.
A lack of news regarding the latest trade restrictions set to be announced by Trump – beyond Treasury Secretary Steven Mnuchin stating that the US isn’t punishing China specifically but ‘all countries’ trying to ‘steal’ American technology – allowed the markets a moment to take a breath after the bell.
The FTSE climbed 0.3%, a move that put a bit more distance between the index and the 7500 level it briefly fell below at the start of the week. The DAX was in a similar situation, re-crossing 12300 with a 45 point rise, while the CAC nudged 0.2% higher and the IBEX pushed up by 0.4%.
There wasn’t much movement in the forex markets. The pound is flat teasing $1.328 against the dollar – an improvement on last week’s lows, but not exactly the gangbusters recovery sterling would have expected after a fairly hawkish Bank of England meeting – while the euro was also unchanged against the greenback just under $1.17.
Today’s another light day for data, meaning the markets are going to be super-receptive to any details, however insubstantial, about the ever-brewing tensions between the US and China.
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