Stock markets posted small gains everywhere in Europe today. Even though talks are well underway between Washington and Beijing, the effect of the trade truce is slowly fading. On top of that, the US Trade Representative Office proposed increased tariffs on $4 billion of EU products. This tariff hike may be modest for now, but it certainly underlies the impact of Donald Trump’s trade strategies all around the world.
Investors have now switched back their focus to data and will be waiting for the EU PMI release due on Wednesday, prior to Independence Day in the U.S. on Thursday. Investors are also already pricing a better than expected non-farm payroll on Friday as projections show it rose by 164,000 for June from 75,000 in May.
In London, stocks remain steady, the FTSE-100 index is struggling to clear its 7,470.0pts resistance level as Boris Johnson and Jeremy Hunt continue their campaign to be the next British Prime Minister. Shares in Geneva show a similar technical configuration with the SMI-20 still trading right below a major resistance placed towards 9,980.0pts. The market is mixed as 9 out of 20 shares are trading lower. Lonza Group AG remains one of the most shorted stocks while the best performances are being registered by SWISS RE AG, SWISS LIFE HOLDING AG, SGS SA and NOVARTIS.
