European stock markets retreat at open

The German share price index DAX graph is pictured at the stock exchange in Frankfurt June 23, 2020. ― Reuters pic
The German share price index DAX graph is pictured at the stock exchange in Frankfurt June 23, 2020. ― Reuters pic

LONDON, Aug 14 — European stock markets fell at the start of trading today, extending the previous session’s losses over fears of a second wave in coronavirus cases and the stalemate in Washington over a new stimulus package for the US economy.

London’s benchmark FTSE 100 index dropped 0.5 per cent to 6,152.82 points, after the UK government reimposed a quarantine for travellers from France and the Netherlands, prompting Paris to quickly announce a “reciprocal measure”.

The Paris CAC 40 index retreated 0.6 per cent to 5,010.03 and Frankfurt’s DAX 30 shed 0.3 per cent to 12,961.12.

“European markets turned south on Friday led by a decline in travel and leisure stocks after the UK added France to its 14-day quarantine list,” noted Neil Wilson, chief market analyst at Markets.com.

“After a decent start to the week it looks like equity markets are finishing off rather meekly.”

The UK government announced the change will kick in at 0300 GMT tomorrow, likely sparking a mass exodus among the estimated 160,000 British holidaymakers in France, after a rise in coronavirus cases there.

Equities were retreating also over fading hopes of a US stimulus deal being struck — and ahead of key weekend trade talks between the United States and China. — AFP

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