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.”
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.