EUROPE MARKETS: European Stocks Weaker Across The Board; Adidas Shares Climb On Results
August 09 2018 - 4:15AM
Dow Jones News
By Barbara Kollmeyer, MarketWatch
European stock gauges sagged across the board in early trade
Thursday as investors attempted to dispel trade-war angst between
the U.S. and China and as shares of financials and the
pharmaceutical companies weighed on the broader market.
What are markets doing?
The Stoxx Europe 600 declined by 0.4% to 388.31, after finishing
0.2% lower on Wednesday at 389.69. The day's moves after Tuesday
marked the index's best close since late July
(http://www.marketwatch.com/story/european-stocks-rally-led-by-auto-and-materials-shares-2018-08-07).
The pan-European gauge is on pace for a rise of about 0.1% so far
this week, having pushed into positive territory for the year this
week.
Germany's DAX 30 fell 0.1% at 12,619.96, while France's CAC 40
fell 0.5% to 5,472.15. The U.K.'s FTSE 100 , slid 0.6% to 7,728.95.
The British pound was down 0.2% to $1.2858.
Meanwhile, the FTSE MIB Italy index declined by 0.8% to
21,611.77, while Spain's IBEX 35 fell 0.3% to 9,715.40.
The euro edged down 0.2% to $1.1590, compared with 1.1610 late
Wednesday in New York.
A weaker currency can help lift sales and revenue for companies
doing business outside of Europe.
What is driving the market?
A risk-off environment was hitting stocks across the Europe
region. In the latest ripple for global trade tensions, China
responded Wednesday to the U.S.'s plan to impose new 25% tariffs on
Chinese goods, to take effect Aug. 23. China said it would match
that move, with similar tariffs to take effect the same day.
Read: Trade-war tracker: Here are the new levies, imposed and
threatened
(http://www.marketwatch.com/story/trade-war-tracker-here-are-the-new-levies-imposed-and-threatened-2018-06-22)
Other stock movers
Adidas AG(ADS.XE) shares jumped after the sportswear maker
reported higher profit
(http://www.marketwatch.com/story/adidas-profit-up-confirms-outlook-2018-08-09)
in the second quarter, lifted by strong revenue for key U.S. and
China markets. The company also confirmed its outlook. Shares of
the company were up nearly 8%.
Zurich Insurance AG(ZURN.EB) shares as the Swiss-based insurer
posted a sharp rise in first-half net profit.
(http://www.marketwatch.com/story/zurich-insurance-net-profit-rises-19-2018-08-09)The
insurer's stock traded 0.4% lower.
German multinational pharmaceutical group Merck KGaA(MRK.XE)
posted a slight rise in second-quarter sales, and confirmed its
2018 outlook. Its shares were down 3.5%
Thyssenkrupp AG(TKA.XE) shares were little changed after the
steelmaker said it swung to a loss in the third quarter
(http://www.marketwatch.com/story/thyssenkrupp-swings-to-a-loss-sets-new-targets-2018-08-09),
and set fresh midterm earnings and sales targets. "The bottom line
is, that we are not satisfied with the current results," said the
German industrial conglomerate's interim Chief Executive Guido
Kerkhoff.
Deutsche Telekom(DTEGY) lifted its full-year guidance as the
German telecommunications group saw second-quarter net profit
nearly halved
(http://www.marketwatch.com/story/deutsche-telekom-lifts-guidance-as-profit-falls-2018-08-09)
from the year-earlier period due to an expense. Shares of the
company rose 0.2%.
(END) Dow Jones Newswires
August 09, 2018 04:00 ET (08:00 GMT)
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