Risk-off Market Sentiment – European Markets to Open Lower

Trump's latest threats to hike tariffs on Chinese imports could cause European markets to open significantly lower this week.

Arslan Butt•Monday, May 6, 2019•1 min read

The European session will begin soon, but it may not be a happy start to the week. Trump’s latest threats to hike tariffs on Chinese imports could cause European markets to open significantly lower this week.

Traders will proceed with caution as there is a risk-off sentiment prevailing in the markets for now. On Sunday night, Trump stated his plans to increase tariffs on $200 billion worth of Chinese goods from 10% to 25% by the end of this week. He also stated plans to impose tariffs on another $325 billion of Chinese imports soon.

Asian markets also had a bad start to this trading week, with mainland Chinese markets plunging by more than 6% earlier today. US stock futures too have experienced sharp losses as a result of this latest news on the trade war between the two world leaders.

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ABOUT THE AUTHOR See More

Arslan Butt

Index & Commodity Analyst

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.