European stocks give up 4-year peak on US-China tensions over Hong Kong

European equities fell on Thursday, to head for the first daily loss in 5 days, to surrender a 4-year high, on profit-taking and after the escalating political tensions between the US and China over Hong Kong's crisis spooked investors.

Stoxx Europe 600 fell by 0.25% as of 11:20 GMT, while it closed higher by 0.3% yesterday, and posted the fourth straight daily gain and the highest level since July 2015, amid widespread optimism about the US-China trade deal.

The index opened today's session lower, to head for the first daily loss in 5 days, on profit-taking, with most of the major European exchanges and sectors in the negative territory today.

The automotive sector saw the largest losses in Europe today, falling by more than 0.7%, as the sector is very sensitive to global trade news. 

President Trump signed two bills supporting Hong Kong protesters in the city under China's rule, leading to a political clash with China, which has opposed the laws.

The Chinese ministry of foreign affairs stated that it firmly denounce the US bills, and threatened to take firm countermeasures against the US interference in its internal affairs which are destined to fail.

S&P 500 futures fell by 0.3% today, while it closed higher by 0.4% yesterday, to mark its fourth straight daily gain and hit a fresh record high of 3,154.26 points.

Back to Europe, the Euro Stoxx 50 index fell by 0.3%, the German DAX fell by 0.35%, and France's CAC 40 lost 0.2%, and in London, the FTSE 100 lost 0.4%.