Europe Movers: ASML, Antofagasta, Hammerson, Just Eat, LVMH, Rexel, Stellantis

Inga Muller
16 Oct, 2024
Frankfurt

European markets traded down amid rate anxieties compounded by weak results from LVM and ASML Holdings. 

The overall inflation in the UK edged lower in September, but the core rate of inflation eased at a slower pace. 

The DAX index decreased by 0.3% to 19,434.40; the CAC-40 index fell by 0.6% to 7,477.82; and the FTSE 100 index rose by 0.6% to 8,298.30. 

The yield on 10-year German bonds edged lower to 2.19%, French bonds inched lower to 2.93%, the UK gilts edged down to 4.09%, and Italian bonds decreased to 3.42%.

LVMH declined 3.7% to €601.20 after the fashion and leather goods company reported a drop in third quarter sales and warned of an "uncertain" outlook. 

Overall sales declined 2% to €60.7 billion from €62.2 billion, driven by a 11% fall in wine & spirit sales to €4.2 billion, fashion & leather goods sales by 3% to €29.9 billion, and watches & jewelry sales by 5% to €7.5 billion. 

However, perfumes and cosmetic sales increased 2% to €6.1 billion. 

The luxury goods company blamed the sales weakness to challenges in China following "several years of exceptional post-Covid growth."

Other luxury goods makers declined following the LVMH announcement: Kering SA fell 2%, Hermes International declined 1.3%, L'Oreal dropped 2%, and Brunello Cucinelli S.p.A. eased 0.8%. 

ASML Holding declined 2.5% to €651.0 after dropping as much as 15% in the previous session following the company's sales warning. 

ASML revised its annual revenue estimate to fall between Є30 billion and Є35 billion, near the low end of its previous annual outlook. 

The company said net sales in the September quarter were Є7.5 billion and new orders were Є2.6 billion.  

Rexel SA dropped 3.9% to €25.28, and the French distributor of electric supplies cut its 2024 outlook, citing challenging market conditions in Europe. 

Stellantis NV declined 1.3% to €11.87 after the Italy-based vehicle maker reported a 20% decline in shipment in the third quarter. 

Just Eat Takeaway.com declined 2.9% to €12.0, and the food delivery company reported a decline in orders in the third quarter. 

Hammerson plc rose 3.5% to 320.20 pence after the property developer launched a £140 million stock repurchase plan. 

Antofagasta jumped 2.8% to 1,847.0 pence after the Chile-based mining company reported a 15% increase in copper production.