European scholarships ended Monday’s session (19) in mixed soilwith investors digesting the relegation of the US credit note By Moody’s, the revision down the growth projections of the euro zone and the announcement of a new trade agreement between European Union and the United Kingdom.
In London, the FTSE 100 advanced 0.17%at 8,699.31 points at the maximum of the day.
In Frankfurt, DAX rose 0.70%to 23,934.98 points. CAC 40, in Paris, retreated 0.04%at 7,883.63 points at the maximum of the day.
Milan’s FTSE MIB had a sharper drop of 1.20%at 40,166.77 points.
In Lisbon, PSI 20 registered a 0.19%increase at 7,249.88 points, while IBEX 35 from Madrid advanced 0.25%to 14,099.00 points. The data is preliminary.
China’s retail sales data regarding April disappointed and negatively impacted the papers of the luxury sector, which strongly depends on Chinese demand. Hermès shares fell 0.97%, and LVMH fell 1.05%.
At the opposite end, BNP Paribas rose 3.42% after announcing a stock repurchase program scheduled for 2025, in the amount of up to 1.084 billion euros.
The relegation of the US credit note weighed on global sentiment, but the markets showed resilience.
Moodys agency cut, on Friday (16) the sovereign rating from AAA to AA1, justifying the decision for continuous fiscal deterioration and the inability to contain the advance of public debt over the past decade.
In the macroeconomic scenario, the European Commission reduced its projections for the growth of the eurozone’s GDP by 2024 and 2025, given the uncertainty caused by commercial tariffs imposed by President Donald Trump.
The EU also adjusted its expectation for inflation in 2026, while earlier Eurostat confirmed that the euro zone consumer price index (CPI) rose 2.2% in April in the annual comparison.
In the geopolitical level, a new preliminary agreement between the European Union and the United Kingdom was announced, in order to strengthen bilateral ties.
British Prime Minister Keir Strmer stressed that the pact will ensure “unprecedented access” to the European market.
The president of the European Commission, Ursula von der Leyen, said the understanding “shows that Europe remains united.”
