European Markets Turned Lower, Industrial Output Eased In May

Bridgette Randall
15 Jul, 2024
London

European markets halted a three-day rally as investors reviewed global developments. 

Benchmark indexes in Paris, London, and Frankfurt declined around 0.5% after China reported mixed economic data, and U.S. election uncertainty reached a new high after an assassination attempt on former president Donald Trump. 

Closer to home, industrial output fell less than expected in May, Eurostat reported Monday. 

Industrial output declined by 0.6% from the previous month in May, following a flat reading in the previous month. 

On an annual basis, output decreased 2.9% in May from an upwardly revised 3.1% in April. 

 

Europe Indexes and Yields

The DAX index decreased by 0.4% to 18,676.88; the CAC-40 index fell by 0.7% to 7,673.76; and the FTSE 100 index rose by 0.4% to 8,224.75. 

The yield on 10-year German bonds edged lower to 2.49%. French bonds inched lower to 3.15%; the UK gilts inched lower to 4.11%; and Italian bonds decreased to 3.77%.

The euro edged lower to $1.09; the British pound inched higher to $1.29; and the U.S. dollar weakened to 89.36 Swiss cents.

Brent crude decreased $0.14 to $84.89 a barrel, and the Dutch TTF natural gas rose by €0.39 to €31.18 per MWh.

 

Europe Stock Movers

The Swatch Group dropped 10.9% to CHF 169.60 after the Swiss watch group reported a sharp decline in sales and earnings in the first half due to a slowdown in China. 

Burberry Group plunged 16.9% to 738.60 pence after the UK-based luxury group issued a profit warning and rehired its chief executive. 

Luxury stocks in Paris declined after China reported mixed economic data and slower-than-estimated second-quarter economic growth of 4.7%. 

LVMH, Kering, and Hermes declined between 2% and 4%. 

Ericsson AB decreased 1.1% to SEK 70.10, and the Swedish telecom equipment maker signed a cross-licensing patent agreement with the China-based mobile handset maker Oppo. 

Brunner Investment Trust increased 1.1% to 1,390.0 pence after the investment fund reported an increase in profit in the first half. 

ME Group International PLC gained 0.5% to 182.68 pence, and the UK-based vending machine operator reported strong results in the six months ending in April. 

BayWa plunged 33% to €15.18 after the Germany-based agriculture nutrition company said that the financially challenged company is seeking a restructuring opinion. 

CompuGroup Medical decreased 0.1% to €15.97 after the German medical software company reported its second quarter results.