European stocks posted a modest loss on Tuesday, as most of the region’s markets were closed for the May Day holiday.
What are markets doing?
The Stoxx Europe 600 index SXXP, -0.08% snapped a three-day win streak and ended marginally lower, down about 0.1% at 385.03, after finishing Monday trade up 0.2%.
The U.K.’s FTSE 100 index UKX, +0.15% rose by 0.2% to 7,520.36, and marked its highest close since Jan. 31, according to FactSet data.
The pound GBPUSD, +0.0220% fell to $1.3742, compared with $1.3765 late Monday in New York, while the euro EURUSD, +0.0751% slipped to $1.2053 from $1.2079.
Stock markets were closed across most of Europe in observance of May Day or Labor Day, including in France PX1, +0.68% Germany DAX, +0.25% Spain IBEX, +0.56% and Italy I945, +0.22%
What is driving the market?
With most markets closed, attention turned to corporate news in the U.K., where oil giant BP BP., +1.80% BP, +0.47% reported its strongest quarterly profit since mid-2014, buoyed by higher oil prices and rising production. Shares climbed 1.8%, recording the highest close since May 2010.
Also in focus, U.S. President Donald Trump on Monday eased pressure on the European Union, giving the bloc more time to negotiate deals that would keep it exempt from U.S. aluminum and steel tariffs.
What are strategists saying?
“With most of Europe off for the May Day holiday, any market reaction to President Trump’s decision to extend for thirty days the EU’s exemption to the aluminum and steel tariffs will have to wait until tomorrow,” said Michael Hewson, chief market analyst at CMC Markets UK, in a note.
Stock movers
Shares of J Sainsbury PLC SBRY, +1.78% rose 1.8%, adding to a 15% rally from Monday that came after news the supermarket chain had agreed to merge with Walmart Inc.’s WMT, -1.19% British unit, Asda Group Ltd.
But Wm. Morrison Supermarkets PLC MRW, -1.36% shares dropped by 1.4%.
Just Eat PLC JE., +4.08% said first-quarter revenue jumped 49%, sending the shares 4.1% higher to the top of the FTSE 100.
Carlsberg A/S CARLB, +0.43% rose 0.4% after the Danish brewer said it was on track to deliver its full-year expectations.
Shares of British American Tobacco PLC BATS, -2.48% ended down 2.5%. Piper Jaffray cut its rating on the tobacco company to neutral from overweight, noting a slowdown in cigarette sales trends in the U.S.
