(RTTNews) – Despite some gains at the start of the session, European markets ended with a sharp drop on Monday, as hopes for additional stimulus from the European Central Bank faded and weak awareness of inflation in Germany raised considerations about the country’s economic recovery.
Isabel Schnabel of the ECB says there is no explanation for why an addition to the bank’s existing $1.35 trillion aid programme, as policy makers had already taken into account the effects of a momentary wave of coronavirus infections on central bank policy decisions.
The Stoxx six hundred pan-European fell by 0.62%. Germany and France closed sharply downwards with their DAX and CAC 40 benchmarks falling by 0.67% and 1.11% respectively.The SMI of Switzerland closed with a drop of 0.28%.The BRITISH market closed for a holiday today.
The DAX closed August with a profit of just over 5%, while the CAC 40 rose 3.4% during the month.The UK’s FTSE 100 lost about 1.1% in August.
Denmark closed upwards, while Greece and Iceland ended unchanged.
In the German market, Wirecard’s inventory plummeted by about 29%.Lufthansa, Siemens, Allianz, Deutsche Telekom, SAP and Fresenius 1 to 2.5%.
Among the winners, BMW rose by almost 3%. HeidelbergCement, Beiersdorf and Covestro rose from 1.2% to 1.75%.
In France, Safran fell by more than 5% and Sodexo fell by 4.3%, while Airbus, Vinci, Crédit Agricole, Unibail Rodamco, BNP Paribas and Societe Generale lost 3 to 3.6%.
Veolia Environnement’s shares rose by almost 6.5% and Engie finished by almost 5%.Veolia Environnement has submitted 2.9 billion euros ($3.5 billion) for a 29.9% stake in its rival Engie-owned Suez.Suez shares rose to 20%.
Technip grew by about 4.7% and Renault almost 4%. ArcelorMittal and Valeo also finished higher.
Shares of Dutch multinational Philips Electronics NV fell dramatically after the company said it reported through the US Department of Health and Human Services.But it’s not the first time From the partial termination of the contract for 43,000 EV300 fans.
In economic terms, the value of customers in Germany remained solid in August, according to Destatis’ initial knowledge.The customer’s value index remained unchanged for a year, after falling by 0.1% in July.Economists had predicted that customer value would increase by 0.1%.
The EU measure, the harmonised customer value index, fell by 0.1% in line with the year in August, tarnishing expectations of a 0.1% increase.The index remained solid in July. On a monthly basis, IPCH fell by 0.2%, in line with economists’ expectations.
The negative-based effect of low energy costs helps keep overall inflation low, but there’s more: July’s VAT cut is more visual in food and clothing costs, said Carsten Brzeski, ING’s economist.
Switzerland’s retail sales rose through an adjusted current day of 4.1% year-on-year in July, according to the knowledge of the Federal Bureau of Statistics.
On a monthly basis, seasonally adjusted retail sales increased 0.7% in July.In nominal terms, retail sales rose 3.4% consistent with the year in July and 0.7% compared to a month ago.