EUROPE MARKETS: European Stocks Waver After North Korea Sparks Fresh Fears Of Nuclear War
By Sara Sjolin, MarketWatch
Euro sinks to 10-week low against the pound
European stocks struggled for direction in Tuesday's trade, as traders digested the latest flare up in U.S.-North Korea tensions and as the euro continued to slide after Germany's general election over the weekend.
The Stoxx Europe 600 index was marginally lower at 383.85, and was swinging between small gains and losses.
Most country-specific indexes were seesawing after North Korea's foreign minister late in Monday's session claimed the U.S. has declared war on the isolated state (http://www.marketwatch.com/story/north-korean-official-says-us-has-declared-war-2017-09-25-13103598).
That has left Pyongyang with "every right to make countermeasures, including the right to shoot down U.S. strategic bombers, even if they are not yet inside the airspace border of our country," the foreign minister said.
U.S. stocks ended lower on Monday (http://www.marketwatch.com/story/us-stocks-set-to-struggle-as-investors-look-for-guidance-from-fed-speakers-2017-09-25) following the comments, and futures pointed to a slightly lower on Tuesday (http://www.marketwatch.com/story/dow-industrials-flirt-with-fourth-daily-drop-in-a-row-2017-09-26) as well.
"So far, every aggressive selloff in equities and move to safe havens on geopolitical risks, has proven to be short-lived," said Hussein Sayed, chief market strategist at FXTM, in a note.