Euro Stoxx tracks metal prices, drops almost 2%
FXStreet (Mumbai) – The European stocks fell sharply on Tuesday as investors tracked metal prices, which traded weak, ignoring the bounce in the US and Chinese stock markets.
The pan-European Euro Stoxx 600 index currently trades 1.85% lower around 351.20 levels. London’s FTSE 100 index was 1.8% lower, the German DAX fell over 1.5% and the French CAC was off by 2.1%.
Shares in Volkswagen extended the Monday’s decline by almost 6% on the continuing controversy over its emission tests. London-listed Antofagasta saw shares down 6.5% after a price cut from Credit Suisse. Anglo American shares declined after Swiss bank downgraded its outlook from “outperform” to “neutral”. Shares in BHP Billition also weakened 4.7% lower.
Wall Street witnessed a moderate bounce back on Monday, however, commodity prices were unimpressed with the bounce in the US and China. Moreover, the sentiment could have taken a hit after the Asian Development Bank (ADB) revised its China and India growth forecasts lower.
The European stocks fell sharply on Tuesday as investors tracked metal prices, which traded weak, ignoring the bounce in the US and Chinese stock markets.
(Market News Provided by FXstreet)