🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

GLOBAL MARKETS-Stocks on edge as Brexit talks teeter on the brink

Published 18/12/2020, 10:09
© Reuters.
EUR/USD
-
UK100
-
XAU/USD
-
US500
-
FCHI
-
DE40
-
JP225
-
HK50
-
PHG
-
DX
-
GC
-
LCO
-
ESZ24
-
FTMC
-
BEAT_old
-
0981
-
MIAPJ0000PUS
-
CSI300
-
MRNA
-

* European shares mixed at end of last full trading week of
2020
* Outcome of talks on U.S. stimulus, Brexit trade deal loom
* All three major U.S. stock indexes hit record highs
* Dollar steadier after week-long beating

By Huw Jones
LONDON, Dec 18 (Reuters) - European shares were mixed early
on Friday, capping the last full trading week of the year with
investors still on edge over a Brexit trade deal and U.S.
stimulus package.
Shares in London .FTSE inched up, lifted by a weaker
dollar. Frankfurt .GDAXI barely gained and Paris .FCHI
slipped.
"The uncertainty around what's coming over the next few days
is keeping investors a little bit nervous as we have two factors
likely to be resolved over the next days: the EU-UK deal and the
U.S. stimulus plan," said Michael Hewson, chief market analyst
at CMC Markets.
Dutch health technology firm Philips PHG.AS rose 2% after
it agreed to buy U.S. cardiac diagnostics and monitoring firm
BioTelemetry BEAT.O in a deal worth $2.8 billion.
A more pessimistic tone to Britain's protracted talks with
the European Union weakened the pound, with only days remaining
before the UK leaves the bloc's single market on Dec. 31.
The EU warned there were just hours left to strike a deal,
undermining British domestically focussed mid-caps .FTMC as
the prospect of trade tariffs in the New Year loomed.
"The EU-UK talks could well go right up to the wire as
neither side wants to be seen be giving in too easily. It's all
about the optics for both sides, so it could take a little bit
longer than most people are comfortable with," Hewson said.
The British pound slipped 0.29% to $1.3546 GBP=D4 , off the
two-and-a-half-year high it hit on Thursday.
Among the day's economic data, British retail sales fell
3.8% for the month in November when a four-week lockdown in
England closed shops selling non-essential goods to the public.
A separate gauge of UK consumer confidence jumped by the
most in eight years this month, boosted by the country's
coronavirus vaccine programme.

WALL STREET RECORDS TUMBLE
The prevalent underlying mood on global equities remained
upbeat. All three major U.S. stock indexes, the Dow, Nasdaq and
S&P500, ended at record highs on Thursday on optimism about a
coronavirus stimulus bill. U.S. S&P 500 futures ESc1 were flat.
Markets were also encouraged that the United States stood
ready to ship 5.9 million doses of a new coronavirus vaccine
developed by Moderna MRNA.O that's close to winning regulatory
approval. "Even though the current state of outbreak is so bleak,
markets are assuming vaccines will help the U.S. achieve a herd
immunity next year and that everybody will be dancing in spring,
with pent-up demand for consumption exploding," said Kozo Koide,
chief economist at Asset Management One.
Asian shares slipped on Friday after Reuters reported that
the United States is set to add dozens of Chinese companies,
including the country's top chipmaker SMIC 0981.HK , to a trade
blacklist later in the day. MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS dropped 0.4% from Thursday's record. Mainland
Chinese shares .CSI300 fell 0.35% while Hong Kong's Hang Seng
.HSI lost 0.67%.
Japan's Nikkei .N225 dipped 0.2%, facing strong resistance
around 27,000.
The dollar index stood at 89.91 =USD , having slipped below
90 for the first time in two and a half years.
The euro traded at $1.2260 EUR= , having hit a
two-and-a-half-year high of $1.2273 on Thursday.
Bitcoin rose 1.9% to $23,256 BTC=BTSP after breaking
$20,000 on Wednesday, setting off a fresh wave of buying.
Spot gold XAU= eased to $1,879.6 per ounce from a
one-month high of $1,896.2 the day before. Copper CMCU3 hit
its highest levels in almost eight years.
Oil climbed to a nine-month high before easing in Asia on
Friday. Brent crude LCOc1 futures traded at $51.34 a barrel,
down 0.3% on day but not far from Thursday's peak of $51.90,
having gained 2.7% so far this week.

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Global assets http://tmsnrt.rs/2jvdmXl
Global currencies vs. dollar http://tmsnrt.rs/2egbfVh
Emerging markets http://tmsnrt.rs/2ihRugV
MSCI All Country Wolrd Index Market Cap http://tmsnrt.rs/2EmTD6j
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
(Editing by)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.