Europe: Stocks open down after Wall Street sell-off

[LONDON] Europe's stock markets slid at the open on Wednesday following a Wall Street sell-off triggered by fears over President Donald Trump's ability to implement his infrastructure and tax plans.

London's benchmark FTSE 100 index dropped 0.6 per cent to 7,336.30 points compared with Tuesday's close.

In the eurozone, Frankfurt's DAX 30 fell 0.8 per cent to 11,870.78 points and the Paris CAC 40 lost 0.7 per cent to 4,969.11 .

The US and European sell-off was mirrored in Asia, where Tokyo ended more than two per cent lower, while Hong Kong shed 1.4 per cent in the afternoon and Shanghai closed down 0.5 per cent.

Sydney was 1.6 per cent lower, Singapore shed 1.2 per cent and Seoul slipped 0.5 per cent. Wellington, Taipei, Manila and Jakarta also suffered hefty losses.

Markets have boomed in anticipation of Trump's plans to cut taxes and boost infrastructure spending, but he is currently struggling to force through health reforms, raising doubts he will have the political capital required to pass his economic reforms.

Wall Street suffered its biggest losses this year, with the Dow Jones index shedding 1.14 per cent by Tuesday's close.

AFP