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Thursday, 24 May 2018

European Markets Drop As Trump Cancels North Korea Summit; Aryzta Tumbles 20%

On Thursday aftetnoon, the European markets fell lower after President Donald Trump said he had canceled a Singapore summit with North Korean leader Kim Jong Un.
Symbol
Name
Price
Change
%Change
Volume
FTSEFTSE7733.78
-54.66-0.70%566782090
DAXDAX12834.69
-142.15-1.10%105679051
CACCAC5542.96
-22.89-0.41%52563003
IBEX 35------
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The pan-European Stoxx 600 was 0.3 percent lower after trading flat for much of the session.
Trump said he had written a letter to North Korean leader Kim Jong Un which states that their planned summit next month was cancelled. The meeting would have marked as the first face-to-face encounter between a sitting U.S. president and a North Korean leader, was set for June 12 in the southeastern Asian island city state.
Europe's autos stocks led the losses, down over 2 percent following an announcement from the U.S. that it plans to investigate whether an "abuse of trade tactics" in cars could harm the world's largest economy. The surprise move appeared to exacerbate fears of fresh global charges.
 Porsche, Daimlerand BMW were all more than 2.5 percent lower.

Technology stocks were the top performers Thursday, up around 0.8 percent as the sector tracked overnight gains on Wall Street. Siltronic, Temenos and Ericsson each rose more than 1 percent during early afternoon trade.

Looking at individual stocks, Electrocomponents soared to the top of index as it reported a 32 percent rise in full-year pre-tax profits on Thursday. The London-listed stock also announced it had reached an agreement to acquire outsourcing firm IESA for around £88 million ($117.5 million). Shares of Electrocomponents were over 12 percent higher.
Swiss food company Aryzta slumped to the bottom of the European benchmark amid earnings news. The firm reported a 17 percent drop in third-quarter revenues on Thursday and slashed its earnings outlook for the second time this fiscal year. Its shares were more than 2 percent lower.

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