LIVE MARKETS-STOXX muted as trade war truce celebration ends, earnings rumble on

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STOXX MUTED AS TRADE WAR TRUCE CELEBRATION ENDS, EARNINGS RUMBLE ON

Europe's STOXX 600 .STOXX is up 0.1% on Tuesday as the celebratory mood around the U.S.-China trade war truce fades and attention stays on earnings and the state of the global economy.

Goldman Sachs has cut its recession forecast for the U.S. to 35% from 45% - the first major brokerage to do so. But the risks to the global economy remain at the forefront of traders minds.

Overall, basic resources .SXPP are the best off sector on Monday, rising 1% with the likes of Rio Tinto and Anglo American lifting things.

Topping the index is Vestas Wind .VWS.CO, up over 12%. Other renewables stocks are also surging with Portugal's EDP.LS up 4.8% and Denmark's Oersted ORSTED.CO up 5.5%. Analysts flagged that draft proposals by the U.S. lawmakers aiming to repeal some of the lucrative climate measures were not as bad as feared

Germany's Bayer BAYGn.DE is also doing well, up over 10% and on track for the biggest share price jump in five years after a Q1 earnings beat.

On the flipside, German reinsurers are falling. Munich Re MUVGn.DE and Hannover Re HNRGn.DE are off over 3% after reporting a hit to Q1 profit due to claims stemming from Los Angeles wildfires.

The worst off sector is real estate SX86P, down 1.1%, with Germany-based residential real estate company Vonovia VNAn.DE slipping 3.5% after the company announced a convertible bond offering.

(Lucy Raitano)

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FOR TUESDAY'S OTHER LIVE MARKETS POSTS

EUROPE BEFORE THE BELL: MOOD TEMPERS AFTER U.S.-CHINE TRUCE CLICK HERE

WITH A HIATUS IN THE TRADE WAR, IT IS BACK TO THE GRIND CLICK HERE