European markets have stabilized with focus on the Brexit crisis

European markets have stabilized with focus on the Brexit crisis

European markets were mixed on Friday morning as investors watched the tense negotiations between the UK and the European Union.

Pan European Stokes 600 Flatine hovered around in early trade, with oil and gas down 0.9% while household goods rose 0.7%.

On Thursday, the European Union urged the United Kingdom to abandon its plan to roll back its withdrawal agreement from the European Union and threatened legal action, but British Prime Minister Boris Johnson’s government pledged to go ahead with the home market bill, despite acknowledging that the move violated international law.

On the data front, the The British economy grew 6.6% in July On a monthly basis, according to preliminary estimates published on Friday, as the economy seeks to recover from severe deflation caused by coronavirus lockdown measures.

In corporate news, Anglo-Australian mining giant Rio Tinto announced the departure of its CEO and two senior executives after a widespread shareholder campaign focused on the company’s demolition of indigenous rock shelters.

Meanwhile, Louis Vuitton owner LVMH has opposed Tiffany’s acquisition target, claiming that the US jeweler’s mismanagement through the coronavirus pandemic nullifies a $ 16 billion acquisition agreement. Tiffany had already sued LVMH for pulling out of the deal.

Altice Europe shares surged 25% after the French telecom operator agreed to a takeover bid of 2.5 billion euros ($ 2.95 billion) with its founder and largest shareholder planning to write off the company.

At the other end of the European stellar index, German braking system manufacturer Knorr-Bremse plunged 8% after major shareholder Heinz Hermann Thiele sold 10 million shares in the company.

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