Stock markets slid Tuesday as traders refocused on lingering global trade disputes and worries about Italy’s budgetary spending. At about 1100 GMT, London’s benchmark FTSE 100 index was down 0.4 percent from Monday’s close. In the eurozone, Frankfurt’s DAX 30 index shed 0.8 percent, Paris lost 0.9 percent and Milan gave up 0.7 percent. The euro unravelled against the dollar, while oil prices paused after a recent surge. “Renewed fears about the US-China trade dispute and the state of Italian politics has shaken European equity markets,” noted David Madden, market analyst at CMC Markets UK. “Now that the US has wrapped up its North American trade deal, it can focus on readdressing the trading imbalance with China.” Earlier in Asia, Hong Kong ended sharply lower, with investors there playing catch up after a long weekend. Going against the grain Tuesday, Tokyo’s benchmark Nikkei index rose for a third straight session to a fresh 27-year high on a cheap yen and advances on Wall Street. In Europe, “stock markets and the single currency are trading in the red… with Italian fiscal concerns continuing to weigh on the region”, said Craig Erlam, senior market analyst at Oanda. “Investors have become increasingly concerned about the coalition government’s spending plans, with the deficit under the proposals being larger than many had expected and leaving Italy on a collision course with Brussels.” Eurozone finance ministers on Monday warned Italy to abide by EU rules on public spending, just days after Rome announced a big spending boost in defiance of Brussels. Elsewhere Tuesday, oil was downbeat after a blistering rally. Crude has motored in recent weeks on concerns about supplies after sanctions are imposed on Iran next month, while OPEC’s decision not to ramp up output, upheaval in Venezuela, a strong dollar and a drop in oil rigs have also pushed prices higher. Both main contracts jumped almost three percent Monday, with observers and key players in the sector now eyeing $100 a barrel for Brent. “The market’s very keen to figure out the size of the impact from the Iranian supply disruptions and whether Saudi Arabia and Russia are able to make up for the losses,” said Kim Kwangrae, a commodities analyst at Samsung Futures. “At the same time, the US-Mexico-Canada Agreement is also improving the overall sentiment on oil.” New York traders sent the Dow and S&P 500 shares indices higher Monday after the United States-Mexico-Canada Agreement (USMCA) was announced Sunday to replace the North American Free Trade Agreement. The deal drew an end to months of uncertainty after US President Donald Trump had threatened to tear up the decades-old NAFTA. Key figures London – FTSE 100: DOWN 0.4 percent at 7,464.38 points Frankfurt – DAX 30: DOWN 0.8 percent at 12,243.98 Paris – CAC 40: DOWN 0.9 percent at 5,460.01 Milan – FTSE MIB: DOWN 0.7 percent to 20,475.02 EURO STOXX 50: DOWN 1.0 percent at 3,381.96 Tokyo – Nikkei 225: UP 0.1 percent at 24,270.62 (close) Hong Kong – Hang Seng: DOWN 2.4 percent at 27,126.38 (close) Shanghai – Composite: Closed for public holiday New York – Dow Jones: UP 0.7 percent at 26,651.21 (close) Euro/dollar: DOWN at $1.1519 from $1.1578 at 2020 GMT Pound/dollar: DOWN at $1.2945 from $1.3037 Dollar/yen: DOWN at 113.75 from 113.96 yen Oil – Brent Crude: DOWN 30 cents at $84.68 per barrel Oil – West Texas Intermediate: UP two cents at $75.32 per barrel. Published in Daily Times, September 3rd 2018.