Europe stocks close lower as U.S.-China deal details unfold
Europe’s regional Stoxx 600 index finished a choppy session lower by 0.19% on Wednesday, though the U.K.’s FTSE 100 bucked the trend by gaining 0.13% to 8,864.35 points — its highest-ever close.
London’s gains were supported by housebuilders for a second day running, with Vistry shares up 6%. The sector has been buoyed by news of a £39 billion ($52.9 billion) boost to social and affordable housing investment in the U.K., confirmed in the government’s Spending Review on Wednesday, along with raised expectations for lower interest rates this year after looser labor market data on Tuesday.
On the international scene, focus remains on U.S.-China trade talks which took place in London this week. An agreement was struck by representatives from the world’s largest economies on Tuesday, but concrete details have been in short supply on Wednesday with the final terms yet to be signed off by President Donald Trump and President Xi Jinping.
Commerce Secretary Howard Lutnick told CNBC that U.S. tariff levels on Chinese imports will not change from their current levels — understood to mean a total rate of 55% on China by the U.S. and 10% on the U.S. by China. A key question for many businesses remains what will be arranged on Chinese exports of rare earths, which Trump said Wednesday formed part of the deal.
Source: CNBC
