European shares tumble on tighter Covid-19 curbs in UK, Brexit uncertainty

European shares slumped in opening trade this morning as the rapid spread of a new strain of the coronavirus led to a more stringent lockdown in England and a travel ban from many countries, while a Brexit trade deal still hung in the balance. 

More than £33 billion was wiped off the FTSE 100 within minutes of opening in London this morning.

The FTSE dropped more than 2% over fears of a no-deal Brexit and new coronavirus restrictions.

The Dublin market had slumped 2.8% in opening trade, with shares in Ryanair sinking 6% in the first few minutes of trade. 

Markets in Paris dropped 2.7% in opening trade, while shares in Frankfurt fell 2.2%.

Canada as well as European neighbours, including Ireland, Germany, Italy and the Netherlands, ordered a suspension of flights from Britain, while France’s ban also included freight carriers, whether by road, air, sea or rail. 

Travel and leisure stocks shed 5.5% and were on course for their worst day in three months.

Oil majors also led losses in Europe as new restriction spurred worries about a hit to demand and weighed on crude prices. 

Shares in Aer Lingus owner IAG sank 16%, while shares in Air France KLM and Channel Tunnel operator Getlink also saw steep losses this morning. 

Article Source: European shares tumble on tighter Covid-19 curbs in UK, Brexit uncertainty – RTE

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