European shares tumble on opening bell over oil crush, downcast earnings

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European shares tumble on opening bell over oil crush, downcast earnings

On Tuesday, the 21st of April 2020, a slew of European stock indices had opened the day in a deep sea of red, slumping Monday’s (April 20th) hard-earned gains that overlooked a record oil futures’ price crash alongside fears of a dour earnings season, as investors had finally fled to the safe-haven asset following a double whammy of New York crude futures’ hovering below zero alongside a fairly downbeat quarterly earnings’ data from a raft of European majors.

In point of fact, Tuesday’s (April 21st) European market has been the latest vindication of a vivid demonstration of financial fallouts of the pandemic, which analysts said would likely to keep traders spooked across the globe for an uncertain period of time.

Aside from that, while this report was being prepared, in late-morning European trading hours, the regional pan-European STOXX 600 was trading 1.6 per cent lower, mostly heaved down by the oil majors such as BP Plc., Royal Dutch Shell Plc.

alongside Total SA, all of which had shed as much as 3 per cent in early morning European trading. Meanwhile, referring to a bottomless downfall of the global economy with little clue on its severity, a global head of macro at ING Economics, Carsten Brzeski said on Tuesday (April 21st), “No one has a clue on how severe this slump will really be.

For Europe, the ZEW index today will be the first of the batch of confidence indicators for April, but you see there is simply no real grip on what the (overall) numbers will be. So, markets are going to continue to be extremely erratic”.

Citing statistics, during preparation of the report, in the late morning European trading on Tuesday (April 21st), London’s FTSE 100 had opened the market 1.5 per cent lower to 5,723.96, Frankfurt’s DAX dropped 1.76 per cent to 10,488.15, while French CAC 40 curbed out 1.79 per cent to 4,447.19.

Elsewhere in the Europe, Madrid’s benchmark IBEX 35 had shrugged off 1.49 per cent to 6,729.40, while Italy’s FTST MIB was trading 1.71 per cent lower to 16,772.52 after falling as much as 1.6 per cent in the pre-market trading.