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Earnings disappointments, tech weakness dent European stocks

Shares in Heineken tumbled 5.4 percent to the bottom of the STOXX after the world's second largest beer maker cut its full-year margin guidance.


Reuters 30 Jul 2018, 07:33 AM

European shares tumbled from a six-week high on Monday as industrials and tech stocks slipped and disappointing earnings, including from brewer Heineken, dented investors' confidence.

The pan-European STOXX 600 fell 0.3 percent, starting a packed earnings week on the back foot after sealing on Friday its strongest weekly gain in nearly five weeks. Germany's DAX edged down 0.2 percent.

Shares in Heineken tumbled 5.4 percent to the bottom of the STOXX after the world's second largest beer maker cut its full-year margin guidance.

The tech sector fell 0.8 percent, reflecting moves in Asia and Wall Street after shocking drops in big tech names Twitter and Facebook last week shook investors' belief in tech's resilience.

Another faller after earnings was Siemens Healthineers , which declined 3.2 percent after the world's largest maker of medical imaging gear reported a 10 percent slump in net profit, hurt by a strong dollar.

France's Air Liquide fell 2.6 percent to the bottom of the CAC 40 after its first-half operating income disappointed.

Several earnings updates were, however, supportive.

German industrial machinery group GEA rose 7 percent to the top of the index, with traders saying the firm beat second-quarter earnings expectations.

British bookmaker GVC, which owns the Ladbrokes and Coral brands, jumped 5.1 percent to a record high after announcing it sealed a joint venture with MGM Resorts to set up an online betting platform in the US

And Lloyd's of London insurance underwriter Hiscox climbed 6 percent after reporting stronger pre-tax profit driven by higher premiums. 

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)


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