Bulletin
Investor Alert

Europe Markets Archives | Email alerts

Dec. 9, 2019, 5:30 a.m. EST

European stocks struggle, with drugmakers weaker and Tullow Oil plunging

ECB meeting ahead this week

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    STOXX Europe 600 Index (SXXP)
  • X
    FTSE 100 Index (UKX)
  • X
    British Pound (GBPUSD)

or Cancel Already have a watchlist? Log In

By Barbara Kollmeyer, MarketWatch


Getty Images

European stocks struggled on Monday, as investors looked set to pause after gains late last week driven by better-than-expected U.S. jobs data.

The U.K. election and some big central bank meetings will be the main themes this week, as U.S.-China trade talks remain in the spotlight ahead of the Dec. 15 deadline for the next round of tariffs on Chinese goods.

The Stoxx Europe 600 /zigman2/quotes/210599654/delayed XX:SXXP +0.34%  fell 0.2% to 406.62. The index closed up 1.2% on Friday, triggered by data showing the biggest gain in U.S. jobs since January. Last week as a whole, the Stoxx barely changed, but remains up just over 20% for the year-to-date.

The U.K. FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX +1.04%  dipped 0.2% to 7,221.38. Keeping a lid on that index, the British pound /zigman2/quotes/210561263/realtime/sampled GBPUSD -0.0498%  continued to trend higher as weekend polls indicated Prime Minister Boris Johnson and his Conservative Party will have a strong outcome in this week’s general election.

A strong pound tends to be negative for U.K.-based multinationals that generate most of their revenue outside the country.

Read: U.K. election could make it harder for U.S. bidders to shop for British M&A targets

The German DAX 30 index /zigman2/quotes/210597999/delayed DX:DAX -0.21%  slipped 0.2% to 13,146.65, while the French CAC 40 /zigman2/quotes/210597958/delayed FR:PX1 +0.94% /zigman2/quotes/210597958/delayed FR:PX1 +0.94% fell 0.3% to 5,855.33.

Economic data showed German exports rose in October, which beat expectations for a decline. That data comes as some big central bank get ready to hold their last meetings of the year. The European Central Bank will meet on Thursday, though investors aren’t expecting any changes from it or the Federal Reserve, whose two-day meeting begins on Tuesday.

Read: Economy looks strong, so don’t expect the Fed to budge

Losses for the French CAC 40 were led by a 0.8% drop in shares of Sanofi /zigman2/quotes/206928357/delayed FR:SAN -1.88%   /zigman2/quotes/201967021/composite SNY -2.58% , after the pharmaceutical company announced a $2.5 billion deal for U.S. biotechnology company Synthorx . Sanofi said it would pay $68 per share, a hefty premium to Synthorx’s closing price of $25 on Friday.

Synthorx still has much to prove on one of its key technologies that manufactures proteins, and Sanofi may end up paying too much for the biotech, Jean-Jacques Le Fur, analyst at broker Bryan Garnier & Co., told clients in a note.

Stock in Roche Holding /zigman2/quotes/206324342/delayed CH:ROG +3.10% slipped 0.6% after the pharmaceutical group said it was extending the offer period for its planned $114.50-per-share takeover of U.S. biotech Spark Therapeutics .

Tesco shares /zigman2/quotes/203761082/delayed UK:TSCO -0.77%  rose over 5% after the U.K. grocer said it has begun a review of strategic options for its Thailand and Malaysia businesses, including a possible sale. The company said in a statement that discussions were in the early stages and there is no guarantee any deal will go through.

Shares of Tullow Oil /zigman2/quotes/205079109/delayed UK:TLW +2.60%  plunged 50% after the multinational oil and gas exploration company cut its production forecast for the near term. This followed 2019 output falling significantly below expectations due largely to lower production from the TEN and Jubilee fields in Ghana. Its chief executive Paul McDade resigned with immediate effect.

/zigman2/quotes/210599654/delayed
XX : STOXX
460.77
+1.57 +0.34%
Volume: 0.00
Feb. 3, 2023 11:03p
loading...
/zigman2/quotes/210598409/delayed
UK : FTSE UK
7,901.80
+81.64 +1.04%
Volume: 620,645
Feb. 3, 2023 4:55p
loading...
/zigman2/quotes/210561263/realtime/sampled
US : Tullett Prebon
1.2048
-0.0006 -0.0498%
Volume: 0.0000
Feb. 3, 2023 4:59p
loading...
/zigman2/quotes/210597999/delayed
DAX
DX : Xetra Indices
15,476.43
-32.76 -0.21%
Volume: 0.00
Feb. 3, 2023 6:30p
loading...
/zigman2/quotes/210597958/delayed
FR : France: Euronext Paris
7,233.94
+67.67 +0.94%
Volume: 89,988
Feb. 3, 2023 6:05p
loading...
/zigman2/quotes/210597958/delayed
FR : France: Euronext Paris
7,233.94
+67.67 +0.94%
Volume: 89,988
Feb. 3, 2023 6:05p
loading...
/zigman2/quotes/206928357/delayed
FR : France: Euronext Paris
85.14
-1.63 -1.88%
Volume: 4.39M
Feb. 3, 2023 5:39p
P/E Ratio
16.15
Dividend Yield
4.18%
Market Cap
€106.65 billion
Rev. per Employee
€450,504
loading...
/zigman2/quotes/201967021/composite
US : U.S.: Nasdaq
$ 46.02
-1.22 -2.58%
Volume: 3.50M
Feb. 3, 2023 4:00p
P/E Ratio
15.48
Dividend Yield
2.74%
Market Cap
$115.79 billion
Rev. per Employee
$473,468
loading...
/zigman2/quotes/206324342/delayed
CH : Switzerland: SWX
CHF 282.35
+8.50 +3.10%
Volume: 1.91M
Feb. 3, 2023 5:30p
P/E Ratio
13.91
Dividend Yield
3.36%
Market Cap
CHF230.78 billion
Rev. per Employee
CHF627,041
loading...
/zigman2/quotes/203761082/delayed
UK : U.K.: London
246.40 p
-1.90 -0.77%
Volume: 9.93M
Feb. 3, 2023 4:35p
P/E Ratio
19.95
Dividend Yield
4.69%
Market Cap
£17.95 billion
Rev. per Employee
£183,190
loading...
/zigman2/quotes/205079109/delayed
UK : U.K.: London
35.58 p
+0.90 +2.60%
Volume: 6.26M
Feb. 3, 2023 4:35p
P/E Ratio
7.32
Dividend Yield
0.00%
Market Cap
£512.32 million
Rev. per Employee
£2.98M
loading...

Barbara Kollmeyer is an editor for MarketWatch in Madrid. Follow her on Twitter @bkollmeyer.

Get news alerts on British Pound — or create your own.
This Story has 0 Comments
Be the first to comment
More News In
Markets

Story Conversation

Commenting FAQs »

Partner Center

World News from MarketWatch

Link to MarketWatch's Slice.