Investing.com - European shares were slammed lower Tuesday as Greece failed to reach an agreement on a new government following the elections resulting in renewed euro zone debt fears
At the close of European trade, the EURO STOXX 50 closed down 2.06%, France's CAC 40 fell 2.78% and Germany’s DAX dropped 1.90%. Meanwhile, in the U.K. the FTSE 100 traded lower by 1.78%.
In Greece, political leaders were continuing to hold cross party talks aimed at forming a government, amid fears that the country will not have a government in place in time to secure its next tranche of international aid next month, as new elections look increasingly likely.
An initial attempt at forming a coalition government by the country’s largest party, New Democracy, collapsed on Monday.
Investors remained nervous due to concerns over new French president-elect, Socialist Francois Hollande renegotiating the euro zone’s fiscal pact in order to stimulate growth in the region.
Equity sentiment found some support after official data showed that German industrial production jumped 2.8% in March, easily surpassing expectations for a 0.8% increase, after declining in each of the previous three months.
The German economy ministry also said the "the outlook for industry has improved significantly".
Banks led the decline with the National Bank of Greece plummeting 8.4% and Spain’s Bankia SA giving back 4.8%.
A gauge of U.K. builders indicated that house prices sank to a six month low with builder Taylor Wimpey Plc leading the sector lower by falling 6.3%
In bullish news, Netherland’s largest phone company, KPN jumped 17% after American Movil offered EUR8.00 per share to increase its stake to 28%.
In the United States, shares are following lower with the Dow off 1.28%, the S&P 500 down 1.24% and the Nasdaq lower by 1.54%
Investors are anticipating a U.S. 10 year note auction and Australian employment numbers Wednesday.
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At the close of European trade, the EURO STOXX 50 closed down 2.06%, France's CAC 40 fell 2.78% and Germany’s DAX dropped 1.90%. Meanwhile, in the U.K. the FTSE 100 traded lower by 1.78%.
In Greece, political leaders were continuing to hold cross party talks aimed at forming a government, amid fears that the country will not have a government in place in time to secure its next tranche of international aid next month, as new elections look increasingly likely.
An initial attempt at forming a coalition government by the country’s largest party, New Democracy, collapsed on Monday.
Investors remained nervous due to concerns over new French president-elect, Socialist Francois Hollande renegotiating the euro zone’s fiscal pact in order to stimulate growth in the region.
Equity sentiment found some support after official data showed that German industrial production jumped 2.8% in March, easily surpassing expectations for a 0.8% increase, after declining in each of the previous three months.
The German economy ministry also said the "the outlook for industry has improved significantly".
Banks led the decline with the National Bank of Greece plummeting 8.4% and Spain’s Bankia SA giving back 4.8%.
A gauge of U.K. builders indicated that house prices sank to a six month low with builder Taylor Wimpey Plc leading the sector lower by falling 6.3%
In bullish news, Netherland’s largest phone company, KPN jumped 17% after American Movil offered EUR8.00 per share to increase its stake to 28%.
In the United States, shares are following lower with the Dow off 1.28%, the S&P 500 down 1.24% and the Nasdaq lower by 1.54%
Investors are anticipating a U.S. 10 year note auction and Australian employment numbers Wednesday.
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