English
European stocks are at their lowest level in two months and record the largest monthly losses this year
European stocks hit a two-month low on Wednesday, as concerns about a global slowdown in light of weak economic data from China and uncertainty about the US debt ceiling agreement outweighed optimism over signs of declining inflation in some major eurozone economies.
The pan-European Stoxx 600 index closed down 1.1%, after hitting its lowest level since March 30.
China-linked luxury goods and automakers led sectoral losses in Europe after data showed that factory activity in the Asian country contracted faster than expected in May due to weak demand. China is Germany's main trading partner
Meanwhile, investors are eagerly awaiting US lawmakers' decisive vote on an agreement to raise the debt ceiling of the world's largest economy, a crucial step to avoid an unprecedented default that could occur within days if Congress does not act.
This, and legislation brokered by President Joe Biden and House Speaker Kevin McCarthy to raise the US debt ceiling of $ 31.4 trillion passed an important hurdle late Tuesday, as it was approved by the Rules Committee and sent to the full House for discussion and a vote expected on Wednesday.
