Stoxx Europe 600 edges higher, shaking off Sweden’s election results

Stoxx Europe 600 edges higher, shaking off Sweden’s election results

RPC Group’s stock soars on news of takeover talks

European stocks inched up Monday, as investors assessed ongoing worries over global trade while also weighing a win for anti-establishment politicians in Sweden’s election.

What are markets doing?
The Stoxx Europe 600 SXXP, +0.24% rose 0.3% to 374.86, after inching higher in Friday’s session but still suffering a weekly loss, as it dropped 2.2% last week.

The pan-European gauge is showing a decline of 3.7% for the year to date.

Germany’s DAX 30 DAX, +0.05% was higher by less than 0.1% to 11,963.36, while France’s CAC 40 PX1, +0.16% added 0.1% to 5,258.78. The U.K.’s FTSE 100 UKX, +0.06% gained 0.1% to 7,285.98.

The euro EURUSD, +0.2164% edged up to $1.1564, up from $1.1553 late Friday in New York, while the pound GBPUSD, +0.2480% bought $1.2942, up from $1.2901.

What is driving the market?
Trade tensions between the U.S. and its partners have put pressure on global markets in recent months. A concern as the week kicks off is President Donald Trump’s tweet over the weekend urging Apple Inc. AAPL, -0.19% to move its manufacturing to the U.S., a comment that helped put some pressure on Asian tech stocks.

Investors also are worried about a fresh advance for anti-establishment European politicians, with Sweden becoming the latest country to show a shift over the weekend. The far-right Sweden Democrats, an anti-immigration party with roots in neo-Nazism, garnered an estimated 17.6% of ballots cast in Sunday’s election.

What are strategists saying?
“The SD ran on a stricter immigration policy and want Sweden to leave the EU,” said David Madden, a CMC Markets UK analyst, in a note, referring to the European Union, the region’s big trade bloc.

“The election is unlikely to rock the financial markets, but growing euro-skepticism can’t be ignored.”

Stock movers
Shares in RPC Group PLC RPC, +20.19% soared 21% after the packaging and containers company confirmed it’s in talks to sell itself.

Shares in Compagnie Financiere Richemont SA CFR, +1.27% tacked on 1.4% after the Cartier parent named Jerome Lambert as its CEO. Richemont also said five-month sales through August showed double-digit percentage growth.

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