Europe: Stocks edge higher at open

[LONDON] Europe's stock markets clawed back ground on Tuesday after a vicious sell-off the previous day, which was rooted in fears of a deadly second coronavirus wave.

In initial deals, London's benchmark FTSE 100 index of major blue-chip companies added 0.3 per cent to 5,821.94 points, compared with the closing level on Monday.

In the eurozone, the Paris CAC 40 gained 0.1 per cent to 4,796.42 points and Frankfurt's DAX 30 index was 0.6 per cent higher at 12,614.91.

Asian equity markets, however, extended losses after a dizzying global rout the day before as governments impose new containment measures in the struggle to fight off a second wave of virus infections.

"The global stock market got battered yesterday and got the week off to a terrible start," said AvaTrade analyst Naeem Aslam.

"Stocks in both Europe and in the US had their worst day since July.

"However, the European markets are trading higher (on Tuesday) as investors begin to bag some bargains," the analyst said.

Fading hopes for a new US stimulus had added to the downbeat mood on Monday with Capitol Hill hostilities stoked by the death of US Supreme Court Justice Ruth Bader Ginsburg, while a top White House adviser questioned whether more fiscal help was even needed.

AFP