Shaking off their initial reticence following Huawei’s blacklisting – an act China has voiced its displeasure over this morning – the European markets pumped higher on Thursday, perhaps choosing to refocus their attentions on the possibility the US will delay its auto tariffs.
The DAX started to let rip as lunchtime approached, climbing 100 points to close back in on a week-peak of 12200. The CAC saw a similar turnaround, jumping half a percent to near 5400. The FTSE wasn’t quite as enthusiastic, though still went from a 0.4% slide to a 0.3% rise, pushing it past 7300 and to its best price in 10 days.
The Dow Jones is set to get in on the action this afternoon. The futures have the index climbing just over 100 points, meaning the Dow will have swung from 25750 to sub-25300 and back again in the last few sessions.
While the FTSE picked itself up and dusted itself off, the pound remained lurking at 3-month lows against both the dollar and the euro. Nothing necessarily major has happened in the last week or so to explicitly cause sterling’s slump; instead the pound is suffering from a general malaise, investors’ confidence gradually waning in the currency as hopes for a cross-party Brexit solution – or any solution at all – continue to fade.
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