LAST UPDATE: 12.00
Major European stocks were lower on Tuesday as investors remained cautious ahead of Wednesday’s US inflation data, with analysts fearing the consumer price index will move above May’s beastly 8.6%.
At the same time, the focus of investment interest is the euro-dollar exchange rate, with the common European currency approaching absolute parity with the American one.
The euro is under pressure from the eurozone energy supply crisis and the economic problems affecting the Old Continent. The euro is down 0.35% at around $1.0004.
The last time the euro-dollar rate reached one-to-one was in December 2002. Since then the single European currency has followed an upward trend, with some fluctuations. A year ago it reached 1.18 against the dollar. But since last Wednesday it is heading towards 1:1. The lowest levels against the American currency were recorded by the euro on July 5, 2001 ($0.8380).
In this climate, the pan-European index Stoxx 600 is trading down 0.3% around 413 points, with most sectors in negative territory, except for oil and gas stocks which are resisting negative trends with a 0.3% gain.
In the individual boards, the German DAX falls by 0.6% to 12,755 units, the French CAC 40 the British also loses 0.25% to 5,980 units FTSE 100 down 0.15% to 7,185 points.
In the periphery the Italian FTSE MIB and the Spanish slips by 0.5% to 21,455 units IBEX 35 losing 0.5% to 8,037 points.
In the individual shares, EDF added 5.9% after two sources told Reuters the French government is ready to pay more than 8 billion euros to bring the energy giant back under full state control. The French government announced last week that it would nationalize the company. He already owns 84% ​​of the business.
At the bottom was Swedish cloud communications firm Sinch, down 20% after it said its second-quarter results would be worse than expected.
Asia is in the red for the second consecutive day, with investors showing no appetite for risk while the tech sector continues to “suffer”. The biggest losses were recorded by the Nikkei 225 in Japan.
Source: Capital
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