European shares retreat one-month-peak on weak data, Brexit woes

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European shares retreat one-month-peak on weak data, Brexit woes

On Tuesday, the 3rd of September 2019, a basket of European shares fell from their one-month-peak, as bleak US factory data alongside euro zone manufacturing figures had added to investors’ worries, while growing uncertainties over Britain’s exit from EU had forced London’s FTSE 100 to lose some of its footings after a four-day-long winning streak.

Meanwhile, the regional Pan-European STOXX 600 wrapped up the day 0.2 per cent lower after falling as much as 0.7 per cent during Tuesday’s (September 3rd) intra-day trading following release of a US factory data that posted a contraction for the first time in more than three years.

Meanwhile, London’s FTSE 100, more vulnerable to Brexit development shed 0.19 per cent ahead of a vote in UK House of Commons after UK’s new leader Boris Johnson had threatened lawmakers either to support him on Brexit or to face off a snap election.

Nonetheless, no-deal Brexiteers won the vote by 328 to 301 to take control of the parliament which immediately forced Johnson to call for a snap election, while a senior investment director for European equities at Aberdeen Standard Investments in London, Will James said ahead of the vote in the UK House of Commons, “The likelihood of general election has just gone up given the fact that they no longer have the parliamentary majority.

If we see continued period of sterling strength, I would expect domestically focused mid-cap FTSE 250 names to outperform. People are currently are quite underweight on the UK names than the more globally exposed large-cap names.

” Citing statistics, Germany’s trade-sensitive DAX dropped 0.36 per cent to wrap up the day at 11,910.86, while London’s FTSE 100 rounded off the day 0.19 per cent lower to 7,268.19 and French CAC 40 ended the day flatlined to 5,466.07.

Elsewhere in Europe, Spain’s FTSE MIB shed 0.25 per cent to 21,399.23, while Madrid’s benchmark IBEX 35 ended Tuesday’s (Sept. 3rd) market a penny down to 8,809.20.