Stocks in Europe seen lower as investors take profits into holidays
Stocks in Europe were seen opening slightly lower on Monday as investors sought to take profits into the holiday season following a sustained rally earlier in the month.
Britain’s FTSE 100 was expected to open down around 22 points at 7,560, Germany’s DAX was seen around 23 points lower at 13,296 and France’s CAC 40 was set to nudge down around 8 points to 6,014, according to IG data.
Investors worldwide have received a festive boost after the agreement of a phase one trade deal between the U.S. and China, and Beijing’s finance ministry said on Monday that it plans to lower import tariffs on some U.S. products from January 1.
These will range from frozen pork to avocado as China looks to boost imports after a bruising 19-month trade war between the world’s two largest economies. U.S. President Donald Trump said on Friday that he had held a “very good talk” with Chinese leader Xi Jinping about the deal.
Asian stocks slipped on Monday despite the upswing in trade relations, with mainland Chinese shares leading losses.
Back in Europe, Lufthansa cabin crew workers have threatened to strike during the holiday season following a breakdown in arbitration talks between the German carrier and cabin crew union UFO.
Meanwhile, the Italian industry minister said on Sunday that Chinese telecommunications giant Huawei should be allowed to play a part in Italy’s future 5G network.