BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - French stocks tumbled on Tuesday, bonds climbed and the dollar rose on safe-haven demand as simmering Sino-U.S. tensions and worries about the state of California shutting down dented investors' appetite for risk.
U.S.-China tensions intensified after the Trump administration rejected China's expansive maritime claims in the South China Sea, a move that Beijing criticized as inciting tensions in the region.
California on Monday banned indoor dining and shuttered movie theaters and bars as coronavirus infection spread beyond the Sun Belt.
Indoor religious services, gyms and hair and nail salons are again off-limits in most of the state to head off surging coronavirus cases and hospitalizations.
Investors were also reacting to reports suggesting that the Trump administration plans to soon scrap a 2013 agreement between U.S. and Chinese auditing authorities, a move that could foreshadow a broader crackdown on U.S.-listed Chinese firms under fire for sidestepping American disclosure rules.
The benchmark CAC 40 index fell 84 points, or 1.7 percent, to 4,972 after rallying as much as 1.7 percent the previous day.
Copyright RTT News/dpa-AFX