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MARKETS-EUROPE-OPEN
European equities ahead at open
LONDON, July 10, 2018 (BSS/AFP) – European stock markets rose in opening
trade on Tuesday, with London edging higher despite upheaval over Prime
Minister Theresa May’s post-Brexit plan.
In initial deals, the British capital’s benchmark FTSE 100 index gained
just 0.1 percent to 7,695.37 points compared with Monday’s closing.
In the eurozone, Frankfurt’s DAX 30 won 0.3 percent to 12,580.31 points and
the Paris CAC 40 added 0.2 percent to 5,410.19.
The pound meanwhile held steady after tumbling Monday following British
Foreign Secretary Boris Johnson’s angry resignation over a post-Brexit
agreement.
Pro-Brexit minister Johnson has long been seen as a thorn in May’s side,
and analysts say his resignation increases the chances she will face a
possible leadership challenge.
That would throw Britain into fresh turmoil — and the possibility of
another general election.
In the run-up to the nation’s shock Brexit referendum in June 2016, Johnson
was a prominent Leave supporter but Theresa May had backed the unsuccessful
Remain campaign.
“Pound stabilises as May remains and Boris leaves,” noted London Capital
Group analyst Jasper Lawler on Tuesday.
“Theresa May defiantly stood her ground on Monday; with threats of a vote
of no confidence unfounded, she lives to fight another day as prime minister.
“As Theresa May’s position stabilised, the pound managed to pick itself
up.”
Johnson’s resignation on Monday came hours after David Davis, London’s
point man on Brexit talks with Brussels, also stepped down over the
agreement.
BSS/AFP/SR/1945 HRS