LONDON: European stocks slumped Monday, with auto makers and bank shares losing ground as investors mull policy signals coming from the U.K. and the U.S.
The Stoxx Europe 600 SXXP, -0.68% fell 0.7% to 363.42, with only the health care sector scoring gains. Financial, oil and gas and telecom stocks were losing the most. The benchmark on Friday rose 1% and ended the week with a modest gain of 0.1%.
In Frankfurt, auto makers were weighing on the DAX 30 DAX, -0.70% which dropped 0.7% to 11,546.45. Volkswagen AG VOW3, -2.08% VLKAY, -0.91% fell 2.2%, Daimler AG DAI, -1.98% gave up 1.8%, BMW AG BMW, -1.99% shed 1.6%. Those moves came after U.S. President-elect Donald Trump, in an interview with Germany’s Bild newspaper, reiterated his call for a 35% import tax on cars built in Mexico that will be exported to the U.S.
Trump, who is slated to be sworn in as the 45th U.S. president on Friday, also told The Times of London newspaper that he’ll aim to quickly strike a bi-lateral trade deal with the U.K. as the country exits the European Union.
