European Indices Decline as Euro Gains Against Major Currencies
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European Indices Decline as Euro Gains Against Major Currencies
European Trading Session Report | February 02, 2026 |
Market Commentary
### European Market Commentary: Session Open Amid Precious Metals Sell-Off
European equities are extending losses in early trading as the session unfolds, pressured by a sharp reversal in precious metals and lingering caution from overnight sessions. The Euro Stoxx 50 is sliding 0.83%, leading declines among major indices, while the DAX is dipping 0.45%, the CAC 40 falling 0.47%, and the FTSE 100 easing 0.50%. This broad-based pullback reflects investor unease over escalating geopolitical tensions, including the impending lapse of nuclear arms control agreements starting Thursday, which is stoking risk aversion.
Last Friday, US markets closed lower, with the S&P 500 down 0.43%, the Dow Jones slipping 0.36%, and the Nasdaq 100 tumbling 1.28%, driven by tech sector weakness and margin pressures in Asia reaching decade-high levels. Asian selling intensity, particularly in overleveraged positions, is spilling over into Europe, amplifying volatility as traders reposition ahead of key data releases.
In foreign exchange, the euro is gaining modest ground against the dollar, with EUR/USD rising 0.10%, buoyed by expectations of steady ECB policy amid cooling Eurozone inflation signals. The pound is also strengthening slightly, GBP/USD up 0.08%, supported by resilient UK growth data, though EUR/GBP is edging higher by 0.05% as eurozone fundamentals take precedence. The Swiss franc is appreciating, USD/CHF declining 0.06%, acting as a safe-haven amid uncertainty. Broader commodity currencies like AUD/USD are ticking up 0.04%, but USD/CAD remains flat at 0.01% higher.
Precious metals are in freefall, with gold plunging 6% and silver crashing 12% in an accelerated sell-off, rattling equities and underscoring bets on higher-for-longer interest rates, as echoed by former Fed Governor Kevin Warsh’s call to “make a bet” on policy normalization. This dynamic is weighing on mining and materials sectors across European benchmarks, exacerbating downside momentum.
European market drivers remain centered on ECB rhetoric and upcoming Eurozone PMI figures, due later today, which could influence rate cut expectations if manufacturing data disappoints. Political developments, including governance probes in the private equity and insurance spaces—such as regulatory caps on growth for PE-backed firms and profit slumps at wealth managers like Julius Baer— are highlighting sector vulnerabilities, prompting de-risking in financials.
Sentiment
European Indices Performance
Performance: (Today Last – Yesterday Close) / Yesterday Close × 100
| Index | Price | Daily (%) |
|---|---|---|
| Euro Stoxx 50 | 5898.60 | -0.83 |
| DAX | 24427.46 | -0.45 |
| CAC 40 | 8088.45 | -0.47 |
| FTSE 100 | 10172.41 | -0.50 |
US Markets (Previous Close)
| Index | Price | Daily (%) |
|---|---|---|
| S&P 500 | 6939.03 | -0.43 |
| Dow Jones | 48892.47 | -0.36 |
| Nasdaq 100 | 25552.39 | -1.28 |
Currency Pairs Performance
| Pair | Price | Daily (%) |
|---|---|---|
| EUR/USD | 1.19 | +0.10 |
| GBP/USD | 1.37 | +0.08 |
| USD/JPY | 154.78 | 0.00 |
| EUR/GBP | 0.87 | +0.05 |
| USD/CHF | 0.77 | -0.06 |
| AUD/USD | 0.70 | +0.04 |
| USD/CAD | 1.36 | +0.01 |
₿ Cryptocurrency Performance
| Crypto | Price | Daily (%) |
|---|---|---|
| Bitcoin | 76871.05 | -0.13 |
| Ethereum | 2242.22 | -1.14 |
Today’s Economic Calendar
High and medium importance events. Times in US Eastern Time (ET).
| Date | Time | Cur | Imp | Event | Actual | Forecast |
|---|---|---|---|---|---|---|
| 2026-02-02 | 02:00 | Medium | Nationwide HPI (MoM) (Jan) | 0.3% | 0.3% | |
| 2026-02-02 | 02:00 | Medium | Nationwide HPI (YoY) (Jan) | 1.0% | 0.7% | |
| 2026-02-02 | 02:00 | Medium | German Retail Sales (MoM) (Dec) | 0.1% | -0.1% | |
| 2026-02-02 | 03:15 | Medium | HCOB Spain Manufacturing PMI (Jan) | 49.2 | 49.9 | |
| 2026-02-02 | 03:30 | Medium | procure.ch Manufacturing PMI (Jan) | 47.2 | ||
| 2026-02-02 | 03:45 | Medium | HCOB Italy Manufacturing PMI (Jan) | 48.5 | ||
| 2026-02-02 | 03:50 | Medium | HCOB France Manufacturing PMI (Jan) | 51.0 | ||
| 2026-02-02 | 03:55 | Medium | HCOB Germany Manufacturing PMI (Jan) | 48.7 | ||
| 2026-02-02 | 04:00 | Medium | HCOB Eurozone Manufacturing PMI (Jan) | 49.4 | ||
| 2026-02-02 | 04:30 | Medium | S&P Global Manufacturing PMI (Jan) | 51.6 | ||
| 2026-02-02 | 09:45 | High | S&P Global Manufacturing PMI (Jan) | 51.9 | ||
| 2026-02-02 | 10:00 | Medium | ISM Manufacturing Employment (Jan) | |||
| 2026-02-02 | 10:00 | High | ISM Manufacturing PMI (Jan) | 48.5 | ||
| 2026-02-02 | 10:00 | High | ISM Manufacturing Prices (Jan) | 59.3 | ||
| 2026-02-02 | 11:30 | Medium | Atlanta Fed GDPNow (Q4) | 4.2% | ||
| 2026-02-02 | 12:30 | Medium | FOMC Member Bostic Speaks | |||
| 2026-02-02 | 19:30 | Medium | Building Approvals (MoM) (Dec) | -6.4% | ||
| 2026-02-02 | 22:30 | High | RBA Interest Rate Decision (Feb) | 3.85% | ||
| 2026-02-02 | 22:35 | Medium | 10-Year JGB Auction | |||
| 2026-02-02 | 23:30 | Medium | RBA Monetary Policy Statement | |||
| 2026-02-02 | 23:30 | Medium | RBA Rate Statement |
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