Cautious tones continue to prevail in the equities space
- German DAX futures -0.3%
- French CAC 40 futures -0.2%
- UK FTSE futures -0.4%
- Spanish IBEX futures -0.5%
It must be said though, that the declines in European equity futures aren't as bad as their US counterparts to start the day (E-minis lower by 0.6%) and that owes a bit to the fact that the cash equity market closed with heavy losses yesterday before US stocks recovered in trading later in the session.
The signal here is that there is reason to be cautious over US-China trade relations but the fact that Treasury yields are steady means that any risk-off tone is not in the immediate offing just yet. That said, be wary of changes to risk sentiment in the sessions ahead as that will likely be a key theme to move markets.
