European markets close down, despite oil topping $40

Monday, 07. March 2016 18:17

Stock markets in Europe closed mostly with moderate losses on Monday: a rally from the previous week subsided as investors were looking for more clues from the European Central Bank on economic and financial future, while sifting through plans revealed at the National People's Congress that Chinese economy would grow between 6.5 and 7% in 2016.

In London, the FTSE 100 closed down 0.27% at 6,182 points, despite very strong gains in mining sector: Antofagasta added 7.63% and Old Mutual rose 6.11%. Randgold Resources lost 3.67% for the day, and financial sector saw losses: Standard Chartered, RSA Insurance, Provident Financial all lost.

The German DAX index lost 0.46% to 9,778 points. Chemical company K+S added 2.19%, and was joined by BASF, with shares price rising 0.44%, while industry giant ThyssenKrupp added 0.91%. Losses were seen across the industries, with Volkswagen AG dropping 3.18% and erasing some gains from the previous week. Deutsche Börse lost 1.71% and Deutsche Bank rolled down 1.53%.

In Paris, the CAC 40 index slipped down 0.32% to 4,442 points. Entertainment and leisure company Accor had a rough day, losing 3.58%, and financials have been sinking the index all day long: Crédit Agricole lost 2.07%, BNP Paribas dropped 1.84%, Société Générale erased 1.75%, and AXA was down 1.38%. ArcelorMittal led the gains with a rise of 1.39%, and automotive and other industries saw gains: Schneider Electric, Air Liquide, Peugeot, Solvay added over 1% each.

Trading was defiant to the European, and the Swiss Market Index ended up 0.46% to 8,019 points. Transocean won the day, rising 3.10%, and Swatch followed in time adding 2.71%. Adecco lost 0.49%, and Julius Baer and Swiss Re shared stand for losses of 0.42% and 0.39% respectively.

The euro strengthened 0.29% against the Swiss franc, and 0.15% versus the U.S. dollar, while losing 0.18% against the U.K. sterling by 6:13 p.m. CET.

Oil prices seem to have little effect on the European trading day. The U.S. sweet crude WTI jumped 4.31% at $37.59 a barrel, while the global benchmark Brent went even more - up 4.56% to $40.54 a barrel, at ICE Europe by 6:15 p.m. CET. The Organization of the Petroleum Exporting Countries reported the OPEC daily basket price of $32.34 a barrel on Friday, up from $31.61 a day before.

Image: SIX

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Breaking the News / ZR