(RTTNews) – European markets closed on a positive note on Friday despite persistent considerations about Brexit and the continued increase in coronavirus cases in various parts of Europe.
The latest batch of economic knowledge and somewhat volatile movements on Wall Street have also had an effect on inventory costs in today’s European markets.
On the Brexit front, the UK government has chosen to insist on a questionable bill that could undermine a Brexit divorce agreement signed last year, despite the European Union’s ultimatum and risk of legal action.
The EU has suggested that the UK abandon plans to cancel the withdrawal agreement “before the end of the month” or threaten to jeopardize industry negotiations.
ECB leading economist Philip Lane’s warning that the deflationary effect has an effect on the Covid-inspired recession has weighed on sentiment. Lane wrote in a blog post that “there has only been partial progress in combating the negative effect on the pandemic on the dynamics of projected inflation. “
Stoxx six hundred pan-Europeans rose by 0. 27%. The UK’s 100 cent FTSE rose 0. 48 consistent with a penny, the French CAC 40 rose 0. 2 consistent with a penny, and Germany’s DAX fell 0. 05 consistent with a penny, while Switzerland’s SMI rose 0. 5 consistent with a penny.
Markets in Europe, Ireland, the Netherlands, Norway, Poland, Russia and Turkey closed upwards.
Austria, Belgium, the Czech Republic, Finland, Greece, Portugal and Spain fell, while Denmark, Iceland and Sweden ended unchanged.
Rio Tinto shares rose by about 5%. The company’s CEO has resigned following a backlash to the destruction of a former Aboriginal man in Western Australia.
Other winners included Antofagasta, Melrose, CRH, ITV, Flutter Entertainment, Mondi and 3i Group.
By contrast, Meggitt, Morrison Supermarkets, Taylor Wimpey, TUI, IAG and JD Sports Fashion 2. 5 to 3. 2%. Barclays, Lloyds Banking Group, Centrica, EasyJet and Standard Chartered ended with a drop of 1. 5 to 2%.
In the French market, LVMH grew by more than 3%. The company alleged that Tiffany’s mismanagement, the coronavirus pandemic, invalidated a $16 billion acquisition agreement it had entered into with the US company. Tiffany had already filed a lawsuit against LVMH for his retirement. the deal.
Among the losers in the CAC index, Technip fell 4. 7% and Accor closed down 4. 25%. Sociedad Generale, BNP Paribas, Crédit Agricole, Sodexo and Renault lost between 1. 7% and 3%.
In Germany, Merck, Covestro, BMW, Bayer, Adidas and Vonovia closed upwards. Thyssenkrupp fell by 3. 75%. Deutsche Bank, Lufthansa, Wirecard and Continental 1. 6 to 2. 3%.
In economic news, knowledge published through the Office of National Statistics showed that the UK economy grew for the third consecutive month in July as blockade measures continued to decline. GDP grew by 6. 6% between July and June, when it gained 8. 7%, economists expected GDP to increase by 6. 7%. In the 3 months to July, GDP fell by 7. 6% in the last 3 months.
Similarly, commercial production increased by 5. 2%, slower than the 9. 3% observed last month. Manufacturing production increased by 6. 3%.
Consumers in Germany remained unchanged in August after a 0. 1% fall in July, according to Destatis data. Compared to last month, the index fell by 0. 1%.
The harmonized customer value index, or CHPI, fell by 0. 1% year-on-year after remaining unchanged in July, and fell for the first time since May 2016.
Expectations of British inflation for next year slowed in August, the quarterly survey of inflation attitudes of the Bank of England/Kantar revealed Friday.
The inflation rate for next year is estimated at 2. 8% versus the estimated 2. 9% in May. Meanwhile, expected inflation for the next twelve months fell from 1. 9% to 2. 2%. Longer-term average inflation expectations, say a few years from now, have fallen from 2. 6% to 2. 8%.