European markets edge higher as investors digest EU Summit

<!--TITOL:

European markets edge higher as investors digest EU Summit

FITITOL--> FXstreet.com (Barcelona) - Markets are digesting the EU Summit, being the EFSF/ESM bond buying program one of the most eyed discussions. As the peripheral countries, specifically Italy and Spain, are in great need of such program, southern pressure against northern resistance was palpable. However, this Monday’s European morning opened with news of Finland and Netherlands meaning to block the bond buying in the secondary market. This leaves markets a little bit less cheerful, still edging higher.

The German DAX 30 and the French CAC 40 are up by +1.30%, while the Spanish IBEX 35 and the Italian FTSE MIB gain +0.40%.

UK manufacturing PMI bounced from May’s sharp decline, but is still contracting at 48.6. EMU’s data remained at 45.1, while the unemployment rate rose to 11.1%, new euro area high.

UK Prime Minister David Cameron is considering a referendum about EU membership. The British FTSE 100 is up by +0.30%.

Ahead of the US manufacturing ISM, fut ures for the American SP 500 signal a higher open by +0.15%, while the Dow Jones 30 and the Nasdaq 100 gain +0.05%. “During the month, our call is for the ISM manufacturing index to fall to 51.5, down from 53.5 the month before, underscoring the dramatic deceleration in the sector”, wrote TD Securities analysts, pointing to softer new orders activity as main factor, coupled with production and employment sub-indices decline.

WTI Crude Oil drops by -1.50%, at 83.66. Gold moved down by -0.42%, at 1592.