Europe tread water on geopolitical hobbles, posts 3 straight weeks of gains

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Europe tread water on geopolitical hobbles, posts 3 straight weeks of gains

On Friday, the 21st of June 2019, a majority of European bourses took a tumble, largely led by the fall of healthcare and media sectors, ending its third straight weeks of gains with a retreat. In point of fact, the three-week long rally of the European indices had largely been dominated by signs of further monetary stimulus into the eurozone to support its dwindling economy.

According to many brokerage firms and analysts, traders were tempted to cash out profits after 4 percent of monthly gains on Friday’s (June 21st) market closure, while looming uncertainties on trade ahead of a Trump-Xi meeting next week alongside tension on Tehran had also moderated risk appetites.

Nonetheless, largely catalyzed by a much stronger-than-anticipated euro and British currency had jolted the Pan-European STOXX 600 0.4 percent lower, meanwhile technology index had been among the biggest tumbler on Friday’s (June 21st) market, while it shredded off about 0.4 percent of its earlier gains.

Besides, adding that the European economy had not out of the woods yet, a senior market analyst at Oanda in London, Craig Erlam said, “Germany’s manufacturing sector remains deep in contraction and the global economic outlook isn’t great, so perhaps it’s still a little early for optimism”.

Citing statistics, London’s FTSE 100 lost 0.23 percent to 7,407.50 on Friday’s (June 21st) market wrap-up and Frankfurt shrugged off 0.13 percent to 12,339.92, while Paris bourse fell by 0.13 percent to 5,528.33 at Friday’s (June 21st) market wind down.