In European Equity Markets the pan-European Stoxx 600 was down 0.3%, with the China-exposed basic resources and automotive sectors each tumbling more than 1%. Oil and gas stocks shed 1.2%, meanwhile, after results from Royal Dutch Shell. Travel stocks were the strongest performers, adding 1.2% as most sectors slid into the red. Royal Dutch Shell reported a 15% fall in third-quarter profits before the bell, missing analyst expectations. Shares of the Anglo-Dutch energy giant fell 3.3% by the close.

In Currency Markets the pound rose above $1.290 on Thursday, heading for its biggest monthly rise in more than a decade as the combination of a weak dollar and the falling risks of Britain leaving the European Union without a deal fuelled demand. As the dollar was weakened by comments from the U.S. Federal Reserve after its interest rate cut on Wednesday, the pound strengthened to as much as $1.2975 on Thursday, closing in on a five-month high above $1.30 hit last week. Against the more steady euro, the pound was up around 0.4% at 86.10 pence.

In Commodities Markets oil prices were nearly 2% lower on Thursday after a leak on a key U.S. pipeline disrupted supply flows and on data showing weak factory activity in China. Brent futures were down 40 cents, or 0.7%, at $60.21 a barrel, while U.S. West Texas Intermediate crude fell 94 cents, or 1.7%, to $54.12. The front-month Brent contract for December delivery expires on Thursday. Futures for January delivery were down about 1.1% to $59.53. Gold prices jumped over 1% on Thursday supported by an interest rate cut by the U.S. Federal Reserve.

In US Equity Markets stocks fell  on Thursday as worries that the United States and China may not be able to strike a trade deal cast a shadow over strong earnings reports from Apple and Facebook. The S&P 500 was dragged down by losses in interest-rate sensitive bank stocks, a day after the Federal Reserve lowered borrowing costs for the third time this year. The S&P 500 was down 0.50%, at 3,031.56 and the Nasdaq Composite declined 0.26%, at 8,282.52. Estee Lauder Cos Inc fell 5% after the cosmetics maker cut its forecast for full-year profit.

In Bond Markets Euro zone bond yields fell to two-week lows on Thursday and were set for their sharpest daily fall in October, after the U.S. Federal Reserve cut rates and doubts about U.S.-China trade talks drove demand for safe-haven assets. Germany’s benchmark 10-year yield fell as low as -0.42% and was set for its biggest daily fall in October, as was the case for most other euro zone bond yields. U.S. 10-year Treasury yields were 9 bps lower on the day , while British and Swiss bond yields were also sharply lower.