18 Jan 2016
European stocks take a U-turn, now in red
FXStreet (Mumbai) - The European stocks erased early gains to trade with moderate losses as investors shifted their focus back on sliding oil prices.
The pan-European Euro Stoxx 50 index was up 0.7% in early trading, but trades 0.10% lower on the day. Among the regional indices, Germany’s DAX is now down 0.10%. France’s CAC is down 0.20%, while London’s FTSE is down 0.10%.
Oil prices dropped to lowest since 2003 after Western nations lifted sanctions place on Iran. Still, the European indices opened on a positive note, although the optimism was extremely short lived as investors shifted their focus back on oil.
The renewed signs of risk aversion have increased demand for the traditional safe havens – Gold, Treasuries and Yen.
The pan-European Euro Stoxx 50 index was up 0.7% in early trading, but trades 0.10% lower on the day. Among the regional indices, Germany’s DAX is now down 0.10%. France’s CAC is down 0.20%, while London’s FTSE is down 0.10%.
Oil prices dropped to lowest since 2003 after Western nations lifted sanctions place on Iran. Still, the European indices opened on a positive note, although the optimism was extremely short lived as investors shifted their focus back on oil.
The renewed signs of risk aversion have increased demand for the traditional safe havens – Gold, Treasuries and Yen.