Europe closes in red after Italy gets interim prime minister

Monday, 28. May 2018 17:33

Major stock markets in Europe finished the trading day on Monday in the red as investors digested the political news coming from Italy, where President Sergio Mattarella chose former IMF official Carlo Cottarelli to serve as the interim prime minister. The candidate for the Prime Minister, Giuseppe Conte, failed to form the country's government after the president rejected his candidate for head of the economy ministry, a eurosceptic Paolo Savona. The interim prime minister will serve until early 2019 when a new election is expected to take place.

The DAX finished 0.45% lower. Pharmaceutical giant Bayer AG led the losses with a 2.85% decline, with Commerzbank AG coming second as it dropped 2.32%.

London's FTSE 100 was closed for the Spring bank holiday.

Italy's FTSE MIB plunged 2.08% at the close, while French CAC 40 was down 0.61% at the end of the session. The banking sector in Italy suffered the most, with FinecoBank being the worst performer, diving 7.22%. I(n France, gas supplier Air Liquide SA decreased 3.82%.

The euro fell 0.19% against the American dollar, selling for $1.1627 at 5:36 pm CET.

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