Europe Movers: Air France KLM, Banks, Hugo Boss, Ocado, Resource Stocks, Spirent Communications

Inga Muller
16 Jan, 2024
Frankfurt

European stocks turned lower amid rising tensions in the Middle East and worries of resurgent inflation after supply chains were disrupted for shipments between Asia and Europe following the persistent attacks in the Red Sea lanes.

The DAX index decreased 0.6% to 16,515.75, the CAC-40 index fell 0.5% to 7,376.57, and the FTSE 100 index inched lower by 0.6% to 7,552.54.

The yield on 10-year German bonds edged up to 2.18%; French bonds inched higher to 2.76%; the UK gilts decreased slightly to 3.78%; and Italian bonds increased to 3.80%.

Energy and mining companies traded mixed after crude oil and metal prices turned higher in volatile trading.

BP plc rose 0.4% to 454.05 pence, and Shell plc decreased 0.5% to 2,447.90 pence.

Glencore PLC dropped 0.8% to 441.30 pence, Anglo American increased 0.3% to 1,830.40 pence, and Antofagasta decreased 0.4% to 1,617.0 pence.

Banks headed lower after European policymakers pushed back against the timing of rate cuts this year.

Deutsche Bank declined 1.2% to €11.79, Banco Santander declined 1.7% to €3.70, and UniCredit fell 0.6% to €25.46.

Air France KLM declined 2.8% to €11.69 after the company withdrew from its existing air cargo arrangements with the French shipping and logistics company CMA CMG.

Hugo Boss AG plunged 12% to €58.06 after the German fashion group reported lower-than-expected fourth-quarter operating earnings in its preliminary results.

Ocado Group gained 5.5% to 653.20 pence after the online grocery shopping company reported a 10.9% increase in its fourth quarter revenue and estimated profit in the full year.

Spirent Communications plc increased 7% to 123.90 pence after the telecom testing company said it has started the new year with a growing order book and conditions are favorable for the full-year outlook.