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European market declined in the middle of the week

European market declined in the middle of the week

Investing.com - European equities traded significantly lower on Wednesday, although hopes for increased US fiscal stimulus and COVID-19 vaccine expectations continue to support the market.

At 04:05 am ET (09:05 GMT), Germany's DAX traded 0.4% lower, France's CAC 40 fell 0.3%, while the UK's FTSE performed better, rising by 0.1%. These indices showed strong gains on Tuesday, the first day of December, continuing the sharp upward movement begun in the previous month..

UK regulators approved the vaccine for Pfizer and BioNTech on Wednesday, and distribution will begin next week. This positive news is likely to be duplicated soon in the European Union as this vaccine, like the Moderna vaccine, has already been submitted to the European regulator.

Retail sales in Germany rebounded in October, climbing 2.6% on the month, as negotiators from the European Union and the United Kingdom try to close a post-Brexit trade deal before the end of the week.

Oil prices were mixed on Wednesday amid uncertainty over whether a group of leading oil producers will maintain current supply levels in the new year..

Industry data from the American Petroleum Institute (API) on Tuesday night showed that US crude inventories rose 4.1 million barrels last week, compared with expectations for a rise of 2.3 million barrels. Official data will be presented later at the meeting on Wednesday.

The release comes after OPEC and its allies (a group known as OPEC +) postponed a decision on next year's production until Thursday, raising fears that pressure within the group to increase production is growing despite the current weak overall demand.

US WTI crude oil futures dropped 0.1% to $ 44.52 a barrel, while the international benchmark Brent contract fell 0.1% to $ 47.45.

Gold futures are up 0.5% to hit $ 1,828.15 an ounce, while EUR / USD is down 0.2% to 1.2051.

Written by Peter Nurse

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