Connect with us

Hi, what are you looking for?

Smart Success Strategy – Investing and Stock NewsSmart Success Strategy – Investing and Stock News

Economy

Best European Stocks Steady Amid Election Jitters in Spain

Best European Stocks Steady Amid Election Jitters in Spain

European shares experienced marginal gains on Monday, with energy firms and telecom stocks contributing to the uptick. However, concerns over a looming recession in the eurozone dampened overall market sentiment. The losses in Spanish stocks followed the inconclusive general election results.

Spanish stocks, represented by the benchmark IBEX index, were down 0.3%, reaching a near one-week low after the election results. Sunday’s vote failed to provide a clear majority for both left and right-wing blocs, resulting in a potential political gridlock and unsettling investors.

The utility sector in Madrid, which had priced in a victory for right-wing parties, saw a decline, with Endesa and Iberdrola experiencing drops of 2.7% and 0.5%, respectively. Additionally, a gauge of Spanish lenders, including Banco de Sabadell, Banco Santander, and Caixabank, fell 0.3%.

Euro Zone’s Business Activity Deepens Downturn, Raising Concerns

On the brighter side, the pan-European STOXX 600 inched up 0.1%, hovering close to its five-week highs.

The euro zone’s business activity survey showed a deeper downturn than expected in July. The dominant services industry reported a decline in demand, and factory output fell at the fastest pace since the start of the COVID-19 pandemic.

Jeremy Batstone-Carr, the European strategist at Raymond James, commented on the current market situation. He stated that Spanish equities experienced mild underperformance amidst general weakness in the eurozone equities. According to him, it was due to the negative perception of the regional economy indicated by the purchasing manager surveys.

Market Speculates on ECB’s Interest Rate Decision

Market participants have already factored in a quarter percentage point increase in interest rates to 3.75% by the European Central Bank later this week. However, the uncertainties surrounding the bank’s actions beyond July are creating cautiousness among investors.

Irish Stocks Decline on Ryanair’s Weak Traffic Forecast

Irish stocks led the losses on the index, declining by 0.9%. Mainly, a 6.1% fall in Ryanair followed the airline’s weak traffic forecast for 2024.

Energy shares were a bright spot, adding 1.5% as crude prices rose due to tightening supply and optimism about potential Chinese stimulus measures.

Telecom Sector Boosted and Bavarian Nordic Plummets as RSV Vaccine Program Ends

The telecom sector received a boost, with Vodafone Group rallying 4.1% after reporting accelerated first-quarter top-line growth.

Conversely, Bavarian Nordic saw a sharp tumble of 26.0% to an over one-year low as it announced the termination of its respiratory syncytial virus (RSV) vaccine program.

Swiss Bank Julius Baer Reports Impressive 18% Profit Increase

Dutch health technology company Philips faced a slide of 5.8% after posting its fourth consecutive decline in order intake on Monday.

Swiss private bank Julius Baer was among the gainers, climbing 8.4% after reporting an 18% increase in net profit for the first half of 2023.

The post Best European Stocks Steady Amid Election Jitters in Spain appeared first on FinanceBrokerage.

Enter Your Information Below To Receive Latest News, And Articles.



    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Editor's Pick

    The energy revolution is here to stay, and electric vehicles (EVs) have become part of the mainstream narrative. Despite geopolitical tensions and uncertainty, the...

    Editor's Pick

    Overview Mexico’s Sinaloa state hosts a number of prolific silver and gold mines, including McEwen Mining’s (TSX:MUX) El Gallo Complex, Americas Gold and Silver’s...

    Editor's Pick

    Uranium is an important energy sector commodity, and its rising value has attracted investor interest. 2023 has seen uranium prices solidly above the important...

    Investing

    A new survey shows that the presidential race between former President Donald Trump and President Biden is thin, but Biden faces a deficit in...

    Disclaimer: smartsuccessstrategy.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2024 smartsuccessstrategy.com