London stocks turn lower on fresh Taiwan geopolitical tensions

Pelosi Taiwan trip pulls stocks off their highs of the day.

Monday’s late trading saw London shares fall as investors became uneasy over geopolitical tensions surrounding China and Taiwan.

The FTSE 250 was down 0.42 per cent, while the FTSE 100 finished the session down 0.13 per cent.

While stocks were spooked, the pound was doing well, last trading up 0.87 per cent versus the dollar at $1.2277 and up 0.37 per cent against the euro at €1.1958.

“European markets have fallen back from their intraday highs on reports that US House Speaker Nancy Pelosi would be landing in Taiwan tomorrow evening in defiance of Chinese warnings not to do so,” said CMC Markets chief market analyst Michael Hewson.

“This raising of tensions presents a bit of a problem for the US, especially given Russia’s aggressive behaviour in Ukraine.

Prior to Nancy Pelosi’s trip to Asia and amid geopolitical tensions between the US and China, the Taiwan dollar fell to a two-year low.

Not Investment Advice Note: Views expressed are those of the writer. The author does not own any stocks mentioned. The article is information, not advice. Share prices can rise and fall. Past returns are not a guide to the future. Please do your own research.