European markets to open lower as Trump faces impeachment inquiry
European markets are set to open lower on Wednesday, as political events on both sides of the Atlantic weigh on investor sentiment.
Britain’s FTSE is seen falling 14 points to 7,277, Germany’s DAX down 28 points at 12,287 and France’s CAC off by 10 points at 5,617, according to IG index data.
Market focus was largely attuned to news of a bid from Democrats in the U.S. House of Representatives to impeach President Donald Trump.
The impeachment inquiry was announced by House Speaker Nancy Pelosi on Tuesday, and follows concerns over Trump’s efforts to push Ukraine to investigate the family of Democratic presidential hopeful Joe Biden.
In Asia, markets slipped as traders monitored U.S. political developments. MSCI’s broadest index of Asian shares excluding Japan dropped over 0.7 percent.
Back in Europe, Brexit uncertainty continues to cloud markets. U.K. Prime Minister Boris Johnson was dealt a serious defeat after Britain’s Supreme Court ruled his decision to suspend Parliament weeks ahead of Brexit was unlawful.
Johnson disagreed with the verdict and said he would take the U.K. out of the EU by an Oct. 31 deadline. He has faced increased calls from lawmakers to resign following the ruling. MPs will now reconvene in Parliament.
In corporate news, Thyssenkrupp’s board wants CEO Guido Kerkhoff to leave the company following multiple profit warnings and restructuring efforts. And German automakers are under renewed pressure, after Volkswagen executives were charged and Daimler fined in relation to a diesel emissions scandal.
Source: CNBC
