European Markets Can't Hold On To Early Gains

(RTTNews) - The major European stock markets opened higher on Tuesday but couldn't keep up the momentum as investors locked in gains from the previous day in a mixed session.

Traders may also be looking ahead to Federal Reserve Chair Jerome Powell's highly anticipated speech at the Jackson Hole symposium on Thursday.

Early momentum was provided when it was reported that U.S. biotechnology company Moderna, Inc. said it concluded advanced talks to provide 80 million doses of its experimental coronavirus shot to the European Union.

Germany's DAX eased 4.92 points or 0.04 percent to 13,061.62, while London's FTSE tumbled 67.72 points or 1.11 percent to 6,037.01 and the CAC 40 in France rose 0.38 points or 0.01 percent to 5,008.27.

In Germany, Wirecard plummeted 8.00 percent, while Covestro plunged 1.36 percent, Volkswagen tanked1.16 percent, Heidelberg Cement tumbled 1.14 percent, thyssenkrupp skidded 1.09 percent, Deutsche Postjumped 1.08 percent, Daimler sank 1.08 percent, Deutsche Lufthansa climbed 0.64 percent, Deutsche Bank collected 0.26 percent and Deutsche Telekom was unchanged.

In London, GVC Holdings surged 3.81 percent, while Royal Dutch Shell plummeted 2.99 percent, British American Tobacco plunged 1.91 percent, Rolls-Royce Holdings and Standard Life Aberdeen both tumbled 1.64 percent, Vodafone dropped 1.32 percent, Tesco sank 1.19 percent, Whitbread climbed 1.1 percent, Rightmove rose 0.52 percent and Scottish Mortgage Investment Trust gained 0.21 percent.

In France, Accor spiked 3.83 percent, while ENGIE plunged 1.29 percent, Veolia Environment tumbled 1.00 percent, Compagnie de Saint-Gobain shed 0.88 percent, Peugeot surrendered 0.67 percent, Vivendi lost 0.54 percent, Societe Generale fell 0.30 percent, Credit Agricole rose 0.26 percent and BNP Paribas collected 0.21 percent.

In economic news, German GDP fell 9.7 percent sequentially in the second quarter after shrinking 2 percent in the first quarter, data from Destatits showed today. The rate was revised up from -10.1 percent estimated last month. Still, the quarterly decline was much larger than during the financial and economic crisis of 2008-09 and the sharpest since quarterly GDP calculations started in 1970.

Meanwhile, German business confidence improved in August, data from ifo Institute showed. The business confidence index rose to 92.6 in August from 90.4 in July for the fourth straight increase and beating forecasts for 92.2.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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