European Shares Falls on Brexit Fears

By Dipo Olowookere 

European stocks have fallen on Thursday, as renewed concerns that Chinese growth is slowing and Brexit fears overshadowed signs of progress in NAFTA talks.

The U.S. is considering imposing tariffs on another $200 billion worth of Chinese goods as early as next months, and the response from China may have significant consequences for the global economy and currencies.

While the U.K.?s FTSE 100 Index has fallen by 0.6 percent, the German DAX Index and the French CAC 40 Index are both down by 0.5 percent.

The euro remained firm against the dollar despite a measure of Euro zone economic sentiment edging lower for an eight consecutive month in August.

Elsewhere, the number of unemployed in Germany fell by 8,000 from the previous month, in line with expectations, while the jobless rate remained stable at 5.2 percent in August, as expected, the Federal Labor Agency said. This was the lowest since German reunification in 1990.

The British pound slipped against the dollar and is heading for a fifth monthly loss after the European Union?s chief negotiator Michel Barnier warned the block must be prepared for a disorderly exit by the U.K.

British recruitment firm Hays has slumped after unveiling its financial results for the fiscal year ended June 30th.

Swedish radiosurgery firm Elekta has also plunged after reporting an unexpected drop in first quarter operating profit.

Shares of real estate company Unibail-Rodamco have tumbled in Paris despite the company posting improved results for the first half of 2018.

On the other hand, shares of Bouygues have rallied. The French industrial group confirmed its full-year view after reporting a rise in first-half profit, helped by improvements in profitability at its telecom and construction divisions.