Investing.com – European stock markets traded mostly lower on Monday after weak trade data from China and despite the fact that the French presidential election turned out as expected.
In midday trade in Europe, the benchmark Euro Stoxx 50 fell 0.34%, France’s CAC 40 lost 0.80% while Germany’s DAX 30 gave up 0.31%.
As forecast by polls, pro-European centrist Emmanuel Macron won the French presidency with more than 60% of the vote against far-right, anti-euro Marine Le Pen.
Both European equities and the euro initially rose, but both began to lose ground on what some experts considered to be profit-taking after the confirmation of the highly expected victory.
Still others noted that risks remained as France still has parliamentary elections in June.
“If the president and parliament are unable to agree on policies, France could face five years of policy drift, undermining its sovereign credit profile,” Moody’s warned in a note out Monday.
On the economic front, Chinese imports slowed much more than expected in April, while export growth more than halved in a sign that global trade momentum may be slipping.
Overall, China said exports rose 8.0% in April year-on-year, below the 10.4% gain seen, while imports rose 11.9% also below the 18.0% gain expected for a trade balance surplus of $38.05 billion, wider than the $35.50 billion seen.
In Europe, investor sentiment in the euro zone hit its highest level in almost a decade in May with the Frankfurt-based Sentix research group's euro zone index rose to 27.4 points, from 23.9 points in April. That was its highest level since July 2007 and beat the consensus forecast fo 25.0.
German factory orders expanded for a second consecutive month with a 1% rise that matched expectations.
U.K. housing prices in the three months to April were marginally lower than in the preceding three months; the first quarterly decline since November 2012. The annual rate of growth remained at 3.8% in April, the lowest rate since May 2013.
Meanwhile, oil prices struggled near the unchanged mark on Monday as investors weighed increased production stateside against speculation that major oil producers could extend their agreement to curb output beyond 2017.
Energy stocks traded with mixed signs, as French oil and gas major Total SA (PA:TOTF) dropped 0.16%, Italy’s ENI (MI:ENI) rose 0.69%, while Norwegian rival Statoil (OL:STL) traded up 0.41%.
Financial stocks traded broadly lower, as French lenders BNP Paribas (PA:BNPP) and Societe Generale (PA:SOGN) fell 1.72% and 2.62%, respectively, while Germany’s Commerzbank (DE:CBKG) and rival Deutsche Bank (DE:DBKGn) lost 1.56% and 0.78%, respectively.
Among peripheral lenders, Italy’s Intesa Sanpaolo (MI:ISP) rose 0.28% and Unicredit (MI:CRDI) fell 0.55%, while Spanish banks BBVA (MC:BBVA) and Banco Santander (MC:SAN) traded down 0.74% and 0.62%, respectively.
In London, the commodity-heavy FTSE 100 slipped 0.01%, under pressure from mining stocks as the Chinese data raised concern about weaker demand from the world’s second largest economy.
Shares in Glencore (LON:GLEN) fell 1.71%, Anglo American (LON:AAL) slumped 1.89 %, while BHP Billiton (LON:BLT) and Rio Tinto (LON:RIO) traded down 1.93% and 2.10%, respectively.
Energy stocks recorded gains, as BP (LON:BP) rose 0.40% and rival Royal Dutch Shell (LON:RDSa) traded up 0.45%.
Financial stocks were mixed, with shares in HSBC Holdings (LON:HSBA) up 0.55%, the Royal Bank of Scotland (LON:RBS) fell 1.19%, Lloyds Banking (LON:LLOY) dropped 0.43% and Barclays (LON:BARC) gained 0.65%.
In the U.S., futures pointed to a lower open. The Dow Jones Industrial Average futures lost 0.16%, S&P 500 futures fell 0.15%, while the Nasdaq 100 futures traded down 0.11%.