Europe open: Ebola reports from NY and Chinese data weigh on shares
European equities started the session lower despite overnight gains on Wall Street, with sentiment weighed down by news of an Ebola case – but not contagion – in New York and a report that Chinese house prices fell in September.
Analysts however are stressing that it is not a case of contagion but rather of a healthcare worker recently returned from travels in Africa.
Also weighing on markets was the 11% drop in shares of US internet retailer Amazon.com in extended hours trading after the company’s third quarter results last night.
Stock in Microsoft on the other hand was higher by 3% after the company updated investors with its own numbers.
As of 09:00 the Dax 30 was lower by 55 points to 8,991.91, and the FTSE Mibtel and Ibex 35 were both slipping by 0.38%.
Home prices in China dropped in September in 69 of 70 cities monitored by authorities in Beijing, with falls of 0.7% month-on-month reported in Beijing and another 0.9% in Shanghai.
Market commentary was also focusing on this coming weekend’s European bank ‘stress test’ results.
Shares in Swedish truck-maker Volvo rocketed 12% after the company announced a 54% increase in its cost-cutting target.
Several media organisations are also highlighting the weakness reported in Unilever’s China sales yesterday.
From a sector stand-point the worst performance on the DJ Stoxx is now being seen in the following industrial groups: Chemicals (-1.16%), Retail (-1.01%) and Basic resources (-0.85%).
German consumer confidence edges higher
An index of German consumer confidence rose to a reading of 8.5 points in November, after a print of 8.4 in the month before (consensus: 8), survey compiler GfK said.
Crude futures slip
Front month Brent crude futures are lower by 0.64% to $86.28 per barrel on the ICE.
The euro/dollar was edging lower by 0.04% to 1.261 as of 09:00.