In European Equity Markets the pan-European Stoxx 600 was 0.42 percent lower by the end of the session, with most sectors and all major bourses in the red. Market jitters have grown recently over increasing signs of slowing economic growth and a possible recession. Bayer, meanwhile, saw its shares fall almost 3 percent after a downgrade from Bank of America Merrill Lynch. The pharmaceutical firm’s chief executive recently said its supervisory board continues to support management, after a U.S. jury ruled against the company in a trial over its Roundup weed killer.
In Currency Markets sterling steadied on Monday, helped by a weaker dollar and reports that Prime Minister Theresa May was preparing to put her Brexit withdrawal plan to a vote in parliament. May could put her twice-defeated Brexit divorce deal to a vote in parliament on Tuesday, ITV’s political correspondent said. Sterling was flat at $1.3212. It was also marginally down against the euro at 85.64 pence. The EU has said Britain can have a short delay to Brexit but May must first win parliamentary approval for her withdrawal deal from the bloc.
In Commodities Markets oil prices were little changed on Monday as investors shrugged off fears of a global economic slowdown and focused on the prospect of tighter supply and lower U.S. crude inventories ahead. Brent crude oil futures climbed 30 cents to $67.33 a barrel, while U.S. West Texas Intermediate (WTI) futures rose 11 cents to $59.15 a barrel. Crude oil pared earlier losses as the U.S. stock market turned positive. U.S. crude inventories have drawn down for two straight weeks, falling nearly 10 million barrels in the latest EIA report.
In US Equity Markets indices edged higher on Monday, pulling back from their session lows, as shares of industrial and consumer discretionary companies rose, but gains were kept in check by worries of a global slowdown. The S&P 500 was up 0.18 percent, at 2,805.75 and the Nasdaq Composite rose 0.13 percent, at 7,652.65. Viacom Inc’s shares rose 6.6 percent, the most on the S&P, after the company renewed a contract with AT&T Inc to continue carrying its services. AT&T shares 0.6 percent.
In Bond Markets Germany’s benchmark 10-year bond yield slid back into negative territory on Monday as worries over Brexit saw investors rushing for safe haven assets, tempering the impact of a surprise rise in business sentiment which lifted yields earlier in the session. Euro zone bond yields had risen after the March Ifo business climate index rose to 99.6 from 98.7 in February and compared with expectations for a reading of 98.5. Germany’s 10-year bond yield was just half a basis point higher at -0.02 percent, and firmly into negative territory.