PARIS (Reuters) – The main European stock markets are on a downward trend on Monday morning after the publication of Chinese economic indicators considered mixed which temper hopes of stimulus measures from China, while the quarterly results of Richemont weigh on the luxury sector.
In Paris, the CAC 40 lost 0.58% to 7,331.58 points around 07:45 GMT. In London, the FTSE 100 dropped 0.07% and in Frankfurt, the Dax fell 0.11%.
The EuroStoxx 50 index lost 0.44%, the FTSEurofirst 300 0.28% and the Stoxx 600 0.2%.
Futures on Wall Street point to slight declines for the Dow Jones and Standard & Poor’s 500, while the Nasdaq is seen up 0.15% after a messy New York Stock Exchange close on Friday on holds of profit.
Official data released Monday showed China’s gross domestic product (GDP) slowed to 6.3% year on year from an expected 7.3% and retail sales growth decelerated year-on-year to 3.1%. However, industrial production came out above expectations over one year (+4.4%).
According to Carol Kong, economist at CBA, in view of these contrasting data, no significant stimulus measures are now to be expected from the Chinese authorities.
On the stock market, the basic resources (-1.19%) and energy (-0.12%) compartments, exposed to China, are in the red.
In individual values, several publications of financial accounts also animate the exchanges, starting with Richemont which fell by 8.35% after quarterly sales below analysts’ expectations. The index of the European luxury sector fell by 3.56% with a drop of 3.12% for LVMH and 3.48% for Hermès.
In Paris, the Casino action is suspended at the request of the Saint-Etienne distributor pending the publication of a press release.
On the upside, TomTom climbed 7.16% on the back of an increase in its forecasts for turnover and free cash flow, while Nordea took 0.37%, the first Nordic bank having published a profit on Monday. operating better than expected for the second quarter.
(Written by Claude Chendjou, edited by Bertrand Boucey)
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