European shares retreat on trade tensions, Kitco News
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MILAN/LONDON (Reuters) – European shares fell for a 2nd day on Monday spil worries overheen a trade war inbetween the United States and China continued to keep investors on the edge, while cable maker Nexans ( NEXS.Paps ) plummeted after a profit warning.
The STOXX 600 index fell 0.8 procent following losses te Asia and a feeble open on Wall Street after U.S. Voorzitter Donald Trump cranked up trade tensions by going ahead with tariffs on Chinese imports, prompting Beijing to instantaneously react ter kleuter. [MKTS/GLOB]
&ldquo,Investors proceed to react to Friday&rsquo,s ramping of unwelcome US-China trade tensions,&rdquo, said Accendo Markets analysts Mike van Dulken and Artjom Hatsaturjants.
The pan-European benchmark erased all the gains it made on Thursday when the ECB said rente rates would stay at record lows at least through the summer of 2019.
Germany’s DAX .GDAXI declined 0.8 procent, underperforming the broader European market amid worries that a keerpunt overheen migration policy could destabilize Angela Merkel’s three-month-old coalition government.
Adding to the pressure, Trump, who regularly complains about Germany&rsquo,s trade surplus and car exports, directly criticized Merkel&rsquo,s government. &ldquo,The people of Germany are turning against their leadership spil migration is rocking the already tenuous Berlin coalition,&rdquo, he wrote on Twitter.
Car maker Volkswagen ( VOWG_p.Den ) suffered the most, down Trio.Three procent, followed by sportswear maker Adidas ( ADSGn.Den ), which lost Two.7 procent.
&ldquo,With the chancellor desperate to maintain a coalition to maintain hier dominance overheen German politics, markets are understandably jittery at the thought of any political upheaval ter the thickest economy ter Europe,&rdquo, commented IG market analyst Joshua Mahony.
France&rsquo,s Nexans fell 16 procent after the company warned that an &ldquo,bruusk deterioration&rdquo, of its high-voltage activities wasgoed likely to translate into lower profits for the total year.
The warning also weighed on Italian rival Prysmian ( PRY.Mihoen ), which fell 1.6 procent.
French gas and power group Engie ( ENGIE.Paps ) fell Four.8 procent after telling unscheduled outages at its Belgian nuclear reactors will have an influence of 250 million euros on its 2018 core and nipt profit.
Aerospace supplier Cobham ( COB.L ) soared Four.6 procent after an upgrade to overweight from Morgan Stanley.
&ldquo,Wij think current management have stabilized show, with necessary costs drowned and measures taken to aid operational delivery,&rdquo, analysts at the U.S. bankgebouw said.
Norwegian Air Shuttle ( NWC.OL ) rose Ten.1 procent after Lufthansa ( LHAG.Den ) said it wasgoed ter voeling with the Norwegian carrier overheen a possible combination.
Norwegian is also the subject of bid rente from British Airways holder IAG ( ICAG.L ). IAG gained 0.7 procent and Lufthansa shares declined 0.6 procent.
Reporting by Danilo Masoni and Julien Ponthus, Editing by Matthew Mpoke Bigg and Peter Graff