Moves: BAE Systems, Ferrexpo, Hugo Boss, Novartis, Roche, Schaeffler, Siemens Healthineers

Inga Muller
02 Aug, 2023
New York City

European market indexes dropped as much as 2%, the U.S. dollar held stable and bond yields edged slightly higher after Fitch Ratings trimmed U.S. credit rating down one notch from its top investment grade. 

The DAX index decreased 1.4% to 16,016.88, the CAC-40 index fell 1.2% to 7,317.36 and the FTSE 100 index dropped 1.5% to 7,553.02.  

The yield on 10-year German bonds increased to 2.46%, 8rench bonds traded higher to 3.05%, the UK gilts edged up to 4.39% and Italian bonds increased to 4.15%.

Mining companies traded down on the ongoing worries that demand growth from China is likely to remain weak for several quarters as policy makers struggle to devise new stimulus measures and revive moribund property market. 

Glencore, Antofagasta and Anglo American gained between 1% and 2%. 

Ferrexpo Plc declined 1.4% to 91.32 pence after the iron mining company reported a decline in pallet production in the first-half of 2023. 

BAE Systems Plc gained 4.6% to 976.60 pence after the defense contractor and military hardware maker reported strong financial results in the first-half and lifted its guidance for 2023.  

Siemens Healthineers AG declined 7.1% to €48.57 after the medical devices maker reported an unexpected decline in quarterly operating earnings but the company reiterated its full-year 2023 outlook.   

Schaeffler AG decreased 0.4% to €5.75 despite the German industrial and automotive products maker lifting its margin outlook for 2023 and supporting sales growth estimates for the year. 

Hugo Boss AG decreased 1.1% to €72.16 despite the men's apparel company reporting higher sales and earnings in the second quarter and lifting its forecast for 2023. 

Taylor Wimpey Plc gained 3.2% to 117.80 pence after the company reported better-than-expected first-half results. 

Roche Holding AG declined 1.0% to CHF 296.0 pence and Novartis AG dropped 1.0% to CHF 90.15 after two companies were engaged in a patent dispute. 

Roche's subsidiary Genentech accused Novartis unit Sandoz of infringing one of its patents.