(CercleFinance.com) – The European stock markets tend to decline this Thursday (-0.4% in London, -0.5% in Frankfurt and Paris), in the wake of the sharp correction suffered on Wall Street the day before at the end session (-1.5% on the S&P500, biggest drop since September).
‘Only 19 companies in the S&P500 were up on the day, their lowest number since March and the banking turmoil, so this was an incredibly widespread decline,’ notes Deutsche Bank.
If it does not see an obvious catalyst responsible for this turnaround at the end of the session, the German bank believes that ‘maintaining the fastest progression of the S&P 500 in more than three years was always likely to prove difficult’.
“The losses came as part of a broader movement of risk aversion, even as investors became even more confident about the chances of Fed rate cuts in 2024,” she adds.
In stock news, Commerzbank gains 2% in Frankfurt after the ECB approved a new share buyback program of up to 600 million euros, a program which could begin at the start of next year.
Also going against the tide, easyJet gained more than 1% in London, supported by an increase in recommendation at Oddo BHF from ‘neutral’ to ‘outperform’ with a new price target of 630 pence, compared to 510 pence previously.
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