European Stocks Waver Amid U.S. Shutdown Jitters and Oil Dip
European stocks dipped as energy stocks were hit by a drop in oil prices. Concerns over a potential U.S. government shutdown, which might delay crucial jobs data, added to the market's cautious mood. Meanwhile, economic data from the UK, France, and Germany influenced investor sentiment.
European shares took a downward turn on Tuesday, primarily led by declines in energy stocks due to a drop in oil prices, as investors grappled with the implications of a potential U.S. government shutdown. Such a shutdown threatens to delay the release of key monthly jobs data, critical for economic assessments.
The pan-European STOXX 600 index fell by 0.2% to 554.5 points by 0856 GMT but remains on track for its third consecutive monthly and quarterly gains. Anticipated updates, such as increased OPEC+ supply, led oil and gas stocks to drop by 1%, with major companies like TotalEnergies and BP each falling over 1%.
In political developments, U.S. Vice President JD Vance indicated a possible government shutdown, as budget negotiations hit a stalemate. Daniela Sabin Hathorn from Capital.com noted that global market anxiety is influencing European trading. In the backdrop, mixed economic signals from the UK, France, and Germany were further affecting market mood.
(With inputs from agencies.)
Google News