Tuesday 24 September 2019

European shares tumble as US pauses

Traders work on the floor of the New York Stock Exchange shortly after the opening bell in New York. Photo: Reuters
Traders work on the floor of the New York Stock Exchange shortly after the opening bell in New York. Photo: Reuters

Helen Reid

European shares tumbled yesterday, tracking more timid Wall Street trading as volumes thinned out for the Thanksgiving holiday, with British stocks leading losses as energy firm Centrica plummeted after results.

The pan-European STOXX 600 slid 0.3pc while eurozone stocks dipped 0.2pc. Britain's FTSE 100 sank 0.5pc, weighed down by utilities Centrica and National Grid.

In Dublin the Iseq closed down 0.36pc at 6,855.15.

Greencoat Renewables, Ireland's first stock market-listed renewable energy firm, reported operating profits of €9.8m in seven months to 30 September. Pre-tax losses at the company were €3.87m due to financial expenses of €13.7m.

Elsewhere, badly-received results from Thyssenkrupp helped drive Germany's DAX lower. In London, Centrica crashed 16.4pc in early deals, set for its biggest daily drop ever, after reporting the loss of 823,000 or about 6pc of its energy customers in four months and full-year earnings missed market estimates.

Leading European gainer was Altice, jumping 6.4pc, after a report the French telecoms and cable group was looking to sell its telecoms network in the Dominican Republic.

Its shares are still down nearly 60pc from the start of the year as funds sold out of the company's US unit.

Eurozone November PMI business surveys were expected to give a read on the strength of the bloc's economy.

Credit Suisse strategists predicted the indicators would remain "well within the expansion territory" but warned "the Eurozone recovery is now a well-known story", and were less enthusiastic about the potential for equities in the new year. (Reuters)

Irish Independent

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