European shares edged lower on Tuesday, after falls on Asian bourses, and low-risk government debt yields fell as political risks from a meeting between the U.S. and Chinese leaders to the French presidential election kept investors on edge.
Eurozone stocks and bonds rallied on Thursday as banks snapped up almost a quarter of a trillion euros of interest-free European Central Bank cash in what the ECB hopes will be the last outing for one of its main crisis-fighting tools.
The dollar lost further ground on Wednesday and hit a four-month low against the safe-haven yen, with investors rethinking the growth expectations under a Trump administration that had pushed the greenback to a 14-year peak and stocks to record highs.
Sterling fell only briefly on Wednesday after an assailant stabbed a policeman and was shot by police just outside Britain's parliament building in London in what police described as a "terrorist incident".
The 2.3% UK inflation level superseding average earnings which currently stand at 2.2%, consumer spending may be negatively impacted and such could trigger fears over the sustainability of the UK’s consumer fueled economic growth.