On Friday, the 24th of April 2020, a slew of European stock indices had leaned down over investors’ disappointment on EU’s lack of initiative regarding a trillion-euro bailout fund agreed by the bloc’s leaders, while a lack of concrete detail on how and when the relief aids would be distributed, had added to further investors’ woes.
In point of fact, as evidences of a deep recession grew over the horizon due to the pandemic-led lockdown in a majority of the bloc’s member countries, late on Thursday (April 23rd), the EU leaders had approved a relief fund worth of roughly €500 billion in a video conference summit, however, the bloc’s leaders could not agree on a solid course of action regarding the bailout package and had left the decision pending until summer, which in effect had taken a heavier toll on investors’ mind and had led to another doomsday for the European stocks already weakened by the shocking downfall of crude oil futures’ prices.
Meanwhile, referring to a cascade of compounding narratives over an approval of the €500 trillion bailout fund agreed on Thursday (April 23rd), Deutsche Bank Research analysts wrote in a client note, “Adding another dimension to budget talks by integrating the EU’s recovery plans will create a new layer of complexity and certainly will not make the process of finding an agreement easier.
The next formal meeting of EU leaders in the Council will be on June 18/19 and this might be the date where at least a principal agreement could be announced, but much more work and negotiations will be needed until then.
” Citing statistics, on Friday’s (April 24th) European market closure, the regional pan-European STOXX 600 wrapped up the day 1.10 per cent lower, while London’s FTSE 100 shed 1.28 per cent to 5,752.33, French CAC 40 had shrugged off 1.30 per cent to 4,393.32, and Frankfurt’s DAX had dwindled 1.69 per cent to wind down the day at 10,336.09.
Elsewhere in the Europe, Madrid’s benchmark IBEX 35 took a header of 1.97 per cent to 6,613.90, while Italy’s FTSE MIB fell by 0.89 per cent to 16,858.89.