European stock markets hit by Covid-19 lockdowns fears – business live

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European stock markets are sliding towards their lowest levels since the spring, as the second wave of Covid-19 infections force governments to impose tough restrictions again.

***Revised*** European Opening Calls:#FTSE 5657 -1.26%#DAX 11830 -1.94%#CAC 4632 -2.08%#AEX 539 -1.19%#MIB 18258 -2.13%#IBEX 6545 -1.59%#OMX 1737 -1.51%#STOXX 3013 -1.89%#IGOpeningCall

[A draft resolution…] said an exponential increase in infections in almost all regions of Germany meant that many local health authorities could not track and trace all infections so it was necessary to significantly reduce contact between people now in the hope that extensive restrictions are not required over Christmas.

If the leaders of Germany’s 16 states agree to the draft during a telephone conference later on Wednesday, fitness studios, discos and cinemas will close along with theatres, opera houses and concert venues.

Merkel proposing one month lockdown.#DAX 11882 -1.50% pic.twitter.com/7HMwsSX7M1

The Euro will almost certainly come under more pressure, already on the back foot as investors reduce pre-US-election risk. The chill winds would be felt in European equities as well. The fall-out is unlikely to be confined to just Europe.

Related: Coronavirus live news: China reports highest infections in two months; US sees almost 500,000 cases in one week

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