European Shares Drop Ahead of Trump-Biden Debate

European stocks fell at the open Tuesday, September 29th, as the recovery from the previous session faded as investors remain cautious before the first US presidential debate.

The European Stoxx600 index fell 0.5% in early trade after posting its biggest daily gain in three months on Monday.

Growth-sensitive stocks, including banks, auto companies, travel and entertainment companies, fell between 1 and 1.4% and led the downward trend as global deaths from the Covid-19 pandemic exceeded 19 million, according to a Reuters count.

While some signs of progress appeared in the talks on a draft coronavirus aid bill in the United States, most investors adopted a wait-and-see attitude before the debate between Democratic candidate Joe Biden and US President Donald Trump today, five weeks before the elections.

Air France KLM shares fell 3.9% after HSBC downgraded its rating from “preservation” to “weighted down” in the portfolio.