European markets close higher; mining stocks up 3% amid U.S.-China trade spat
European stocks closed preliminarily higher on Monday, with mining stocks rebounding as traders kept a close eye on a new trade dispute brewing between the U.S. and China.
The pan-European Stoxx 600 ended 0.4% up, led by the Stoxx 600 Basic Materials Index which climbed 3%, rebounding from a sharp fall on Friday.
Many of the continent’s indexes were in positive territory at the end of the session. The U.K.’s FTS index was last seen almost 0.2% higher, with Germany’s DAX up around 0.6%, Italy’s FTSE MIB up 0.4%, and France’s CAC 40 edging up 0.2% despite continued political chaos in the country.
Mining stocks made gains, as Fresnillo advanced 9% by the session’s end, Aurubis rose 2.4% and Anglo American added over 4.1%, after U.S. President Donald Trump threatened China with a fresh wave of tariff increases to “financially counter” new export controls that China imposed on rare earth minerals.
China controls about 70% of the global supply of rare earths minerals, which are critical for high-tech industries, including automobiles, defense and semiconductors.
Trump on Sunday appeared to suggest in a Truth Social post that he might not follow through on his threat, however, posting that trade relations with China “will all be fine.”
Source: CNBC.com
