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European and Asian stocks fall on uncertainty of US election

As traders were expecting the victory of Democratic nominee Clinton over rival Donald Trump in a tight race for the White House, the sudden change in the focus has compelled them to move cautiously

The stock markets in Europe and Asia reportedly fell on Monday as the US Presidential election took a surprising turn after FBI launched a new probe into the Hillary Clinton’s email case.

As traders were expecting the victory of Democratic nominee Clinton over rival Donald Trump in a tight race for the White House, the sudden change in the focus has compelled them to move cautiously, media reports revealed.

In addition to the US election uncertainty, the weak German retail sales and a dip in oil prices resulted in a shaky session in Europe, dropping the STOXX 600 index to 0.4 per cent, Reuters reported.

In Asia, the Nikkei Stock Average was down 0.5% at 17357, while the Hang Seng Index was 0.3% lower and the Shanghai Composite Index was down 0.5%, media reports said.

Chris Weston, chief market strategist at IG Markets said: “Politics is dominating everything at the moment. The FBI investigation has seen a bit of money flowing into people backing a Trump win…[and] people are really concerned,” Market Watch reported.

Putting pressure on Hillary’s 2016 presidential race, FBI on Friday said the agency is investigating more emails as part of a probe into Hillary Clinton’s use of a private email system when she was Secretary of State.

The agency is reportedly looking at whether any of the new emails will have an impact on the previous investigation into Clinton’s emails.

According to the ABC News/Washington Post poll, Hillary Clinton’s lead over rival republican nominee Donald Trump has now come down to one pint. Clinton has the support of 46 percent of likely voters, while Trump has 45% percent in a four-way race.

However, Clinton earlier called on the FBI to “immediately” explain its review of a new batch of emails, saying it was “imperative” for American voters to have all of the information with just 11 days remaining before the presidential election.

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