European Stock Markets Dip Amid Earnings and Trade Concerns
10 months ago

European bourses tracked moderately lower midday Friday as traders weighed the earnings season and potential trade tensions between Europe and the US in a Trump Presidency. Property issues bucked trends to gain, while tech and bank issues lagged. Vistry shares slumped 18.4% midday after the British major homebuilder issued its second full-year profit warning in a month, citing cost overruns. Investors also eyed Wall Street futures signaling red and choppy closes overnight on Asian exchanges. The pan-continental Stoxx Europe 600 Index was off 0.8% mid-session. The Stoxx Europe 600 Technology Index was off 1.2%, and the Stoxx 600 Banks Index lost 1.4%. The Stoxx Europe 600 Oil and Gas Index was off 0.4%, and the Stoxx 600 Europe Food and Beverage Index declined 0.1%. The REITE, a European REIT index, rose 0.8%, but the Stoxx Europe 600 Retail Index declined 0.2%. On the national market indexes, Germany's DAX was down 1%, and the FTSE 100 in London was down 0.9%.

The CAC 40 in Paris was off 1%, and Spain's IBEX 35 was steady. Yields on benchmark 10-year German bonds were lower, near 2.39%. Front-month North Sea Brent crude oil futures were down 1.1% to $74.83 per barrel. The Euro Stoxx 50 volatility index was up 1.1% to 16.92, indicating below-average volatility for European stock markets in the next 30 days, a positive signal.

A reading above 20 indicates choppier markets ahead, while below 20 suggests calmer exchanges..

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