European Markets Trade Mixed Amid Flood of Earnings Results

Bridgette Randall
28 Feb, 2024
Frankfurt

European markets traded mixed, and bond yields inched higher as investors reviewed the latest batch of earnings. 

Benchmark indexes in Paris and Frankfurt flatlined, and the euro edged higher against the U.S. dollar as market participants lowered expectations of a rate cut in the near future. 

The eurozone economic sentiment indicator unexpectedly declined in February, the European Commission reported Wednesday. 

The measure of confidence declined as businesses struggled under high inflation, rising interest rates, and weak external demand growth. 

The sentiment indicator declined to 95.4 in February from the revised 96.1 in January. 

Moreover, the consumer inflation expectations index increased 3.5 points to 15.5 in February, while the index for selling price expectations declined by 0.6 points to 3.8. 

 

Europe Indexes and Yields

The DAX index increased by 0.2% to 17,580.90, the CAC-40 index decreased by 0.07% to 7,944.35, and the FTSE 100 index inched lower by 0.6% to 7,638.95.

The yield on 10-year German bonds edged up to 2.45%; French bonds inched higher to 2.93%; the UK gilts edged lower to 4.18%; and Italian bonds inched lower to 3.90%.

The euro edged higher to $1.080, the British pound inched higher to $1.263, and the U.S. dollar gained to 88.05 Swiss cents.

Brent crude decreased $0.80 to $82.94 a barrel, and the Dutch TTF natural gas increased by €0.65 to €25.05 per MWh.

 

Europe Stock Movers

ASM International declined 3.6% to €559.30 after the Dutch semiconductor equipment maker's current quarter revenue fell short of market expectations. 

Lanxess AG dropped 4.7% to €22.97 after the company said it plans to take a good impairment charge of €413 million linked to polymer additives, flavors, and fragrances business units. 

Just Eat Takeaway.com dropped 5.9% to €14.17, despite the food delivery company reporting a narrower loss in the last year. 

Reckitt Benckiser plunged 10% to 5,253.0 pence after the consumer products maker reported fourth-quarter comparable sales that fell short of market expectations. 

Aston Martin Lagonda Global Holdings declined 1.9% to 173.20 pence after the luxury sports car maker delayed its plans to launch an electric car by a year. 

Vodafone Group rose 1.6% to 69.42 pence after the company said it was in advanced talks to sell its Italian arm to Swisscom for cash.

Glanbia Plc increased 2.5% to €15.79 after the dietary supplement company reported a 20% increase in full-year after-tax profit. 

Halfords dropped by 31% to 138.20 pence after the vehicle repair and maintenance company trimmed its 2024 profit outlook. 

Taylor Wimpey declined 2.4% to 136.70 pence after the UK-based housebuilder reported a decline in pre-tax profit for fiscal year 2023. 

Capita PLC increased 3.6% to 20.74 pence after the outsourcing company, a European telecom service provider, enlarged its current contract. 

Casino Guichard Perrachon dropped 15% to €0.60 after the troubled retailer reported deeper losses in 2023. 

Worldline SA plunged 9.3% to €11.12 after the payment processing company reported a loss of €1.15 billion due to a goodwill impairment linked to its merchant services activities. 

Nicox SA dropped 1.1%, and the ophthalmology company appointed veteran biotech executive Gavin Spencer as the company's chief executive.