AMSTERDAM/LONDON: Losses on Thursday knocked European shares 1.2% off all-time highs as a clutch of dismal earnings and falling bond yields dampened sentiment, while UK-listed Avast soared 18% on merger talks.
The pan-European STOXX 600 index slipped 1%, with the oil and gas sector falling 2.7% to a six-month low.
Siemens Energy slid 11.1% after scrapping its margin target as Siemens Gamesa - its wind power division - was hit by higher-than-expected raw material and product ramp-up costs.
Siemens Gamesa was the worst performer on the STOXX 600, sliding 14.2% and suffering its worst session in two years.
Oil majors Royal Dutch Shell and BP fell more than 2% as crude prices dropped on expectations of more supplies.
Losses in Europe were broad-based, with economically sensitive stocks like banks, automakers, and travel down between 0.3% and 1.6% as investors grew wary of rising Covid-19 cases across the continent.
The FTSE 100 dropped 1.1%, with data showing the number of employees on British company payrolls surged in June by the most since the start of the pandemic.
Online fashion retailer ASOS tumbled 18% after it said sales growth slowed in June and higher costs did not translate to higher prices for consumers.
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