Europe Movers: B&M Retail, Hugo Boss, Ocado, SCOR, Richemont, Rio Tinto

Inga Muller
16 Jul, 2024
Frankfurt

European markets turned lower amid rate jitters and macroeconomic anxieties as investors reviewed the latest batch of earnings. 

The Euro Area trade balance swung to a surplus in May after imports fell faster than exports.   

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%.

Hugo Boss decreased 8.4% to €37.0, and the German fashion company lowered its annual revenue outlook, citing a China-led slowdown. 

The apparel retailer lowered its full-year revenue outlook to 4.35 billion from the previous estimate of 4.45 billion. 

The company said second-quarter revenue declined 1% to $1.02 billion, driven by a fall in sales in Asia and Europe. 

Richemont increased 0.6% to CHF 137.90, and the parent company of Cartier and Montblanc reported a marginal increase in sales in the fiscal first quarter ending in June. 

Sales in constant currency rose 1% but declined 1% in nominal terms to Є5.27 billion from Є5.32 billion a year earlier. 

Challenging macroeconomic conditions slowed down the growth from 19% to 14% in the corresponding period a year ago. 

Sales in Japan surged 59%, in Europe advanced 5%, in the Americas gained 10%, but plunged 27% in Greater China. 

SCOR SE dropped 25.4% to €19.43 after the French insurance company said its L&H insurance service unit would deliver a loss of €0.4 billion in the second quarter. 

Rio Tinto declined 5.4% to 5,013.0 pence after the iron ore mining company reported second-quarter shipments falling short of estimates. 

Glencore, Anglo American, and Antofagasta declined between 1% and 2% after copper prices eased for the second day in a row after China reported mixed economic data on Monday. 

Ocado jumped 9.8% to 373.90 pence after the online retailer raised the profit outlook for its technology unit. 

B&M European Value Retail SA increased 4.4% to 466.40 pence after the discount retailer reported a 2.4% increase in sales in the first quarter and signaled a positive outlook for the full year.