European Markets Ease On Rising Tensions with Russia

Bridgette Randall
09 Aug, 2022
Frankfurt

European markets eased amid rising geopolitical tensions and investors await the U.S. inflation report Wednesday. 

The radioactive catastrophe worries in Europe rose after the Russia-controlled nuclear power plant in Ukraine was shelled on Friday and Saturday. 

Russia and Ukraine have traded accusations over who attacked the largest nuclear power plant in Europe located at Zaporizhzhia, Ukraine. 

The DAX index decreased 0.8% to 13,577.81, the CAC-40 index fell 0.3%, and the FTSE 100 index rose 0.1% to 7,491.96. 

Taiwan foreign minister accused China for stepping up cyberattacks on the island nations and added that the mainland is using the recent military exercises in the preparation of the island invasion. 

Retail sales in the U.K. rose unexpectedly after the latest heatwave lifted the demand for summer clothing and electric fans.  

Comparable retail sales in July rose 1.6% after falling 1.3% in June, the report prepared by the British Retail Consortium and advisory firm KPMG showed Tuesday. 

Resource stocks led the gainers in the region after crude oil prices inch higher. 

Brent crude edged up $1.40 to $98.21 a barrel and futures of natural gas as high as 192.0 euros a MWh. 

Dufry AG rose 4.5% to 40.35 Swiss francs after the duty-free shops operator reported strong first-half 2022 sales rose 146% to 2.9 billion Swiss francs. 

Net income in the period swung to 12.1 million Swiss francs or 76.3 million on core basis from a loss of 253.9 million Swiss francs in the year ago period. 

The company also won an extension of contract for three more years to 2029 for its largest shop at Heathrow airport. 

Duftry also won new concessions for airport locations in Helsinki, Finland, Sofa, Bulgaria, Recife Brazil, Bali, Indonesia and Santa Lucia, Mexico.  

Continental AG declined 6.4% to $64.98 euros after the automotive tire maker swung to a loss in the latest results. 

Revenues in the second quarter increased 13.0% to 9.4 billion euros but swung to a loss of 25.1 million euros from a profit of 545 million euros. 

The company reiterated its full-year outlook despite the challenging first half and persistent supply chain disruptions. 

Wacker Neuson SE declined 4.2% to 18.61 euros after the construction equipment maker reported first-half revenues increased 15.5% to 1.07 billion euros. 

Net income in the period declined 5.6% to 66.1 million euros compared to 70.1 million euros a year ago. 

The company reiterated its full-year revenues between 1.9 billion and 2.1 billion euros and narrowed its operating earnings margin between 9.0% and 10.0%.