European equity markets bought the rumor and sold the news
Despite more good economic news, Europe sees selloff after last week’s rally
The broad European indices are down about half a percent today despite a steady trickle of strong economic data.
Germany’s retail PMI printed today at 55.2 (vs. 56.2 in April) while France came in at 53.3 (vs. 51.8 in April). Yesterday, Germany’s Composite PMI for May came in at 57.4 and France at 56.9.
The selloff was across the board and reflected investor profit taking after last week’s jump.