Europe’s stock markets were again awash with red ink on Monday. Investors were disappointed that world leaders meeting over the weekend did not come up with more concrete measures to address the financial crisis. The Washington summit decided that individual governments should work out their own responses to their own circumstances.Frankfurt bond dealer Robert Halver was wary of over regulating markets, but also wanted changes: “We have just a letter of intent but we need legislative instruments. We have to get it through the parliaments. The markets should not be regulated. We need free markets. Markets which will be regulated are not efficient anymore.”
On Europe’s exchanges, banks were big losers on persistent concerns about the financial sector’s health. Energy and mining stocks fell on expectations of less demand as the global recession bites.