Mexico and Germany cast doubts on European stock markets

European markets have woken up with two news that are not encouraging for their interests, so they are showing declines in stocks. The cause? Mexico and Germany, but in this case has no relationship with the game played in Russia and scored a few days later the start of the World Cup team.

Returning to the stock market, the falls are analyzed as the consequence, on the one hand, of the virtual electoral triumph of Andrés López Obrador in Mexico, considered a threat to large economic groups; on the other hand, Angela Merkel 's government crisis due to discrepancies within the cabinet for the treatment of immigrants.

"The beginning of the week can not bring more uncertainty for the markets." In Mexico, and as the polls predicted, the leftist candidate, Andrés López Obrador, won the elections. listed on the most exposed ibex in Mexico (its main market, with 27.5% of its income) has decreased by 2.35% ", published Bolsamanía.

"The victory of the anti-establishment candidate hits BBVA with decreases that have approached 3%," says El Economista.

The Ibex 35 is the main stock index of the Spanish stock market prepared by Bolsas y Mercados Españoles

The other issue that marks the markets of Europe is what should be a chaotic Monday in Germany for the differences between Merkel and the leader of the conservative party of The coalition with which he governs

Horst Seehofer, also Minister of the Interior, threatened Sunday to resign if Merkel does not change his position on immigrants.

His party, the CSU, meets on Monday the first time to try to avoid the threat of resignation to be dissatisfied with the agreement on immigration that Merkel arrived in Brussels last week.

In this scenario, Ibex records fall by 1% on average.

The Nikkei, in turn, closed with falls of around 2%, but essentially because this Friday will be a key day: US tariffs on China would come into effect.

In addition to Donald Trump's tariffs for China, the US employment report will be important, which will also be known on Friday, July 6th.

In this context, according to Financial Times the European Union once again threatened to impose new tariffs in the United States as a form of retaliation and worth $ 300,000,000 dollars if Trump goes ahead with tariffs on European automobiles.

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