European Shares Ease On Weak Commodity Prices
European stocks were subdued on Monday as concerns about new COVID-related curbs in Asia, especially in China, dented optimism over economic revival.
Additionally, China’s factory gate inflation in July rose at a faster clip from the previous month, raising concerns that inflation could spike further if lockdowns in parts of the country cause supply problems.
There was some respite on the economic front as new data showed Germany’s exports grew at a faster pace in June despite persistent supply bottlenecks in manufacturing.
Exports grew 1.3 percent month-on-month in June, following May’s revised 0.4 percent increase, Destatis reported. The rate was expected to climb 0.4 percent after 0.3 percent growth initially estimated for May.
Meanwhile, growth in imports eased to 0.6 percent from 3.4 percent. Economists had forecast the annual growth to slow to 0.5 percent.
The pan-European Stoxx Europe 600 was marginally lower at 469.79 after ending flat with a positive bias on Friday.
The German DAX slipped 0.2 percent and the U.K.’s FTSE 100 dipped 0.4 percent, while France’s CAC 40 was little changed with a negative bias.
Miner Antofagasta dropped 1 percent in London and Glencore shed half a percent as copper eased on a firmer dollar.
BP Plc fell nearly 2 percent and Royal Dutch Shell declined 1.4 percent as Brent futures slumped more than 4 percent on concerns about potential global oil demand erosion.
Vectura shares jumped 4.6 percent after the drug maker received a higher bid from Philip Morris International Inc.
Deliveroo soared 9.4 percent after German food delivery group Delivery Hero built a 5 percent stake in its U.K. rival. Shares of the German firm declined 1.3 percent.
Financial services company Hargreaves Lansdown plunged almost 10 percent after an earnings miss.
Wacker Neuson shares tumbled 3 percent. The German construction company has warned of supply-chain challenges despite reporting an increase in second-quarter profit.
Source: Read Full Article