(Alliance News) - European stock markets opened lower to the downside Tuesday as investors remained cautious about the global economic and monetary policy outlook. China last month suffered its biggest drop in exports in more than two years, according to official data Tuesday, with the world's second-largest economy struggling with sluggish global demand and a domestic slowdown.
The data will likely increase calls for leaders to do more to revive growth, having laid out a series of stimulus measures in recent weeks. Sales of Chinese products in overseas markets slumped 14.5 percent year-on-year last month, a third consecutive decline, according to the customs authority.
Markets await Chinese inflation data Wednesday and U.S. inflation data Thursday for new details on the global economic trajectory.
Germany's annual inflation rate was confirmed at 6.2 percent in July, down from 6.4 percent the previous month and remaining close to May's 14-month low of 6.1 percent, a sign that inflationary pressures in the country are beginning to cool. The data were released Tuesday by Destatis.
As a result, the FTSE Mib marks a contraction of 1.6 percent to 28,105.84.
Among the smaller listings, the Mid-Cap is giving up 0.9 percent to 41,181.08, the Small-Cap down 0.5 percent to 26,754.12, and Italy Growth is in the red 0.2 percent to 8,901.66.
Paris's CAC 40 falls 0.3 percent, as does Frankfurt's DAX 40, while London's FTSE 100 marks minus 0.2 percent.
On the Mib, Amplifon is off to a good start, posting plus 0.7% at EUR30.09 per share in its third bearish session.
Snam, meanwhile, advances 0.6%, with price at EUR4.57 per share, rearing its head after eight bearish sessions.
Banks hurt after the government's "extra profits" initiative. On Monday evening came the green light to the "levy" on banks' extra profits, limited to 2023." The measure, brought to the BoD by Economy Minister Giancarlo Giorgetti, was explained at a press conference by Deputy Prime Minister and Infrastructure Minister Matteo Salvini.
"The revenue will go to help with first home mortgages and tax cuts," the League leader explained, calling the measure a "social equity norm." "We are not talking about a few handfuls of millions but," Salvini stressed, "one can assume a few billion.
Intesa Sanpolo gives up 6.8 percent, FinecoBank 5.7 percent, and Unicredit 5.5 percent. On the latter it should be noted that on Tuesday it reported that as part of its share buyback program, it purchased just under 4.4 million of its own shares in the period between July 31 and August 4. The weighted average price was EUR22.50, amounting to about EUR98 million.
On the MidCap, Industrie de Nora is advancing 0.8 percent, in its third bullish session.
Also doing well is Sanlorenzo, which is picking up 1.0 percent, after 3.7 percent in the red on eve.
Banking also gave up in this segment, posting minus 7.6% with Credito Emiliano, Banca Popolare di Sondrio down 7.7% and Banca Ifis down 3.5%.
Deutche Bank cut its target price on Salvatore Ferragamo to EUR15.50 from EUR18.00. The stock is giving up 0.6 percent.
On the SmallCap, Cairo Communication is marking a 5.0 percent red, following up eve's red with 3.1 percent.
Alkemy is giving up 4.3% to EUR10.18 per share, following last night's green with 4.3%. The stock had previously come from five negative sessions.
Good buying on Restart, which advances 3.8%, veering to the upside after two bearish releases.
Among SMEs, Comal advances with 6.9%, after a 0.3% gain on eve.
Casta Diva, on the other hand, marks a plus 3.6%, on the heels of eve's green with 0.4%.
CleanBnB, on the other hand, closes the list 3.5% red, after two sessions closed in the green.
In New York, on European night, the Dow Jones advanced 1.2 percent, the S&P 0.9 percent, and the Nasdaq was plus 0.6 percent.
Among currencies, the euro changed hands at USD1.0997 against USD1.1001 in Monday's European stock close while the pound was instead worth USD1.2764 from USD1.2771 on Monday night.
Among commodities, Brent crude is worth USD85.13 per barrel versus USD85.27 per barrel at Monday's close. Gold, meanwhile, trades at USD1,934.14 an ounce from USD1,933.40 an ounce on Monday evening.
On Tuesday's economic calendar from the US, at 1430 CEST it is the turn of the trade balance, while at 2230 CEST the weekly oil stocks report will be released.
Among companies, the accounts of Banca Popolare di Sondrio and Revo Insurance are expected.
By Maurizio Carta, Alliance News reporter
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