LONDON (Archyde.com) – European shares fell on Tuesday, led by commodity-related shares, as rising concerns regarding a jump in coronavirus infections in China exacerbated tensions ahead of an expected rise in US interest rates.
The pan-European STOXX 600 index closed 0.3 percent lower following rising in the previous two sessions when hopes of progress in peace talks between Russia and Ukraine boosted sentiment.
Mining companies fell 2.1 percent, while oil and gas companies fell 0.1 percent, with crude prices falling more than seven percent and industrial metals falling due to concerns regarding demand from the main consumer China, following a jump in Covid-19 infections.
In addition to the negative news from China, the US central bank is expected to launch a cycle of rate hikes on Wednesday with an increase of 25 basis points.
The Bank of England is also expected to raise borrowing costs on Thursday.
A survey showed that German investor confidence suffered a record drop in March due to the war in Ukraine and economic sanctions once morest Russia.
