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European markets in the red due to concerns about a new strain of coronavirus


Novembre, 26 2021
watermark Economic news

On Friday, European stock indexes are falling as news of the newly identified new Covid-19 strain raises fears of another powerful blow to the global economy. Experts believe that the new strain may be resistant to vaccines. 


As a result, the pan-European STOXX 600 index fell by 3.3% to 468.72, showing the worst session in more than a year. The British FTSE 100 index also fell by 3.3%, to 7,091.10. The German DAX index fell to 15,426.10, and the French CAC 40 – to 6,806.76.


According to experts, the new strain found in South Africa, Botswana and Hong Kong is still poorly understood. But there are already suggestions that it has an unusual combination of mutations and can evade the immune response, and is also possibly more contagious.


Shares of tourism and leisure companies fell by 6.5% after the UK banned flights from South Africa and several neighboring African countries. Travel restrictions from these countries have also been imposed by Japan, Italy and Singapore.


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Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.