European markets were sharply lower earlier due to the ongoing US-China trade spat, but they have just come back viciously. Bloomberg reported that the US President Donald Trump is planning to delay imposing tariffs on EU auto imports by 6 months.
The news caused shares in BMW (DE:), Daimler (DE:) and other carmakers to spike. The bond yield rebounded sharply, causing the to go back to the positive on the day. Even the US markets caught a bid, but understandably it was European markets which saw the biggest response.
Whether or not the news will be confirmed remains to be seen. Traders are buying European car shares and the euro now and will be asking questions later…
DAX 30 15 May
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.