Europe Movers: ABB, Anglo American, ASML, Electrolux

Inga Muller
20 Jul, 2023
New York City

European markets attempted a rebound and investors reviewed the latest batch of corporate earnings. 

The DAX index increased 0.2% to 16,147.21, the CAC-40 index advanced 0.4% to 7,352.81 and the FTSE 100 index increased 0.6% to 7,637.29. 

The yield on 10-year German bonds increased higher to 2.41%, French bonds traded lower to 2.97%, the UK gilts edged up to 4.21% and Italian bonds increased to 4.09%.

ABB Ltd gained 2.9% to CHF 34.42 after the Swiss engineering company reported a rise in earnings on strong revenue growth. 

Revenue in the second quarter rose 13% to $8.1 billion from $7.2 billion and  earnings soared 139% to $906 million from $379 million and basic earnings per share jumped to 49 cents from 20 cents a year ago.  

New orders in the quarter declined to $8.67 billion from $8.81 billion with 5% increase in the Americas and mid-single digit increase in the U.S.

Anglo American Plc  jumped 3.6% to 2,387.50 pence after the company said copper production soared in the second quarter by 56% after ramp up of activities at a mine in Peru. 

Production of copper jumped 56% to 209,000 tons from 134,000 tons, iron ore increased 9% to 15.6 million tons from 14.4 million tons, nickel declined 4% to 9,900 tons from 10,300 tons and diamond fell 5% to 7.3 million carats from 7.9 million carats a year ago.   

ASML Holding NV declined 4% to €626.10 and extended two day losses to 7% despite the Netherlands-based semiconductor equipment maker reported higher revenue and earnings and said demand from China remained strong. 

Electrolux AB plunged 20.5% to kr122.0 after the Swedish appliance maker reported sales declined 8% in its latest quarter. 

Revenue in the quarter declined 8.4% to SEK 32.6 billion and the company swung to a loss of SEK 648 million from a profit of SEK 257 million and diluted earnings per share was (SEK 2.43) from a profit of SEK 0.93. 

Sales were impacted by a weaker demand and customers opting for cheaper priced products.