Market Report - Europe Close
Stocks on the Continent put in a modest bounce at the end of the week amid rising speculation that the European Central Bank might be preparing to bring back out what traders term as its 'big bazooka'.
Europe's main stockmarket gauges finished in the red again after Beijing said that it would retaliate for the latest round of US trade tariffs.
Stocks across Europe finished the Wednesday session deep in the red, failing to follow-through on the previous session's gains after the release of data confirming that Germany's economy shrank during the second quarter and showing much weaker than forecast activity in China, including industrial output running at a 17-year low.
Stocks across the Continent snapped higher on Tuesday after the US administration dialed back on some of its trade tariff threats, helping investors look past - for now at least- survey readings showing analysts and fund managers around the world braced for much weaker growth.
European investors' focus on Monday shifted from Brexit and the US-China trade tensions to another bout of political drama in Italy.
Stocks across the Continent fell back at the end of the week following news that the Italian Senate might schedule a no-confidence vote against the current government for as soon as Monday, threatening to reignite tensions around the euro area's fourth largest economy.
Stocks across the Continent finished the day higher following moves overnight by China's central bank that some traders said showed that it was pushing back on weakness in the country's currency, the yuan.
Stocks across the Continent finished mostly higher on Wednesday, playing catch-up with shares on Wall Street following the previous session's drubbing, helped by a report suggesting that the next round of US-China trade talks scheduled for September would likely still go ahead.
A bounce for European stocks had fizzled out by the end of trading amid worries that the White House might ratchet up the pressure on Beijing even futher in response to weakness in the Chinese currency, the yuan, during the previous session.
Stocks across the Continent slumped after China allowed its currency to fall sharply in value against the US dollar and euro with analysts divided on just how far stocks might drop on the back of the trade war between Washington and Beijing.
Stocks in Europe were in the red as they closed on Friday, after investors spent much of the session digesting the latest surprise tariff announcement, issued overnight at the hands of US president Donald Trump.
Stocks across the Continent finished near their best levels of the session on Thursday, despite the drag from miners and Big Oil as strength in the US dollar weighed on commodity prices after the US central bank opted to push back on expectations for a long series of interest rate cuts extending into 2020.
Stocks across the Channel staged a small bounce despite mixed reports out of the US-China trade talks in Shanghai and ahead of a key US central bank policy announcement later in the day.
Stocks across the Continent finished the session mired in deep losses, weighed down by concerns around the strength of the euro area's economy, particularly in the face of risks around a no-deal Brexit, and after the US President reiterated his complaint that China had not bought more US agricultural goods as promised.
Stocks across the Continent finished the session little changed but off their best levels, alongside a sharp drop in the pound's value as traders reacted to the new British government's insistence on risking a no-deal Brexit if it could not obtain a better deal from Brussels.
European shares slipped below the waterline at the end of a sweltering Thursday, as the market digested an avalanche of earnings reports and a fresh European Central Bank rate decision.
European shares finished with their heads just above water on Wednesday, as weak eurozone PMI data and poor results from Deutsche Bank and online gambling firm Kindred weighed on sentiment.
European shares closed in the green on Tuesday, as solid corporate earnings and a strong session on Asian markets provided impetus.
European markets finished in positive territory on Monday, as the Gulf crisis provided a boost for oil producers although investors were still keeping a wary eye on the European Central Bank meeting later in the week.
European shares were just above the waterline as they closed on Friday, with a boost from stronger sessions in the US and Asia and renewed hopes of more monetary easing from the US Federal Reserve managing to keep things chugging.