European market fell due to China

The European market has opened a fall against the background of concerns provoked by the reinforcing energy crisis and slowing economic growth in China. Reports about it Reuters. The Stoxx EUROPE 600 index as of 12:25 Moscow time fell by 0.37 percent – to 467.68 points, testify data for trading.

At the same time, the index rose by 2.65 percent over the past week, which turned out to be the maximum growth from March 2021. The jump occurred thanks to the beginning of the publication of financial statements, as well as expectations that states will be able to mitigate the effects of the energy crisis.

However, on Monday, October 18, the auction was opened with a fall in shares of some major European firms. Thus, the cost of the securities of the Netherlands company Philips on the New York Stock Exchange decreased by 1.35 percent compared with the previous closure due to the decline in the company’s income. LVMH luxury producer shares fell on the French Stock Exchange by 2.92 percent due to the deterioration of indicators in the Chinese market, which for luxury brands is the main one. Another owner of premium brands – Kering has demonstrated a drop of 3.02 percent.

Some firms showed growth. Among the leaders – mining and oil and gas companies, the reason for the rise in price of securities was the rise in oil prices.

The fall in shares of European companies influenced the sharp slowdown in China’s GDP growth in the third quarter to 4.9 percent in annual terms. For comparison, according to the results of the first quarter of 2021, Chinese GDP rose 18.3 percent in annual terms, and in the second quarter – by 7.9 percent.

/Media reports.