European shares slipped again on Wednesday as a batch of mixed earnings reports heightened worries about the impact of tighter monetary policies and soaring inflation on corporate profits.
The pan-European STOXX 600 index fell 0.2% by 0706 GMT––its sixth consecutive session of losses––with real estate and banks leading the sectoral decline. Weak results from Barratt Developments, Britain’s largest housebuilder, sparked a selloff in the sector.
Philips fell 8.1% as the Dutch health technology company said its quarterly core profit would drop around 60%, and it flagged a massive charge on the value of its plagued sleep and respiratory care business.
Credit Suisse dropped 3.6% after Bloomberg reported the US Justice Department is investigating whether the Swiss lender continued helping US clients hide assets from authorities, eight years after it paid a $2.6-billion tax evasion settlement.
European shares hit over 1-week low
Among gainers, LVMH inched up 0.9% after the French luxury goods giant beat market forecasts for third-quarter sales as wealthy shoppers splashed on fashion and Americans in Europe made the most of the strong dollar.
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