Bulletin
Investor Alert

Europe Markets Archives | Email alerts

March 24, 2021, 5:54 a.m. EDT

Chip makers shine in otherwise struggling European markets

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
    DAX (DAX)
  • X
    CAC 40 Index (PX1)

or Cancel Already have a watchlist? Log In

By Barbara Kollmeyer

European stocks continued to struggle on Wednesday, as extended lockdowns in Germany and the Netherlands have sparked concerns of a slower economic recovery for the region. But fresh data indicated growth could be returning.

Chip makers were standout gainers after upbeat news from U.S. chip making giant Intel.

After losses across Asian markets , the Stoxx Europe 600 index /zigman2/quotes/210599654/delayed XX:SXXP +1.09% fell 0.3%, following a 0.2% drop on Tuesday. The German DAX /zigman2/quotes/210597999/delayed DX:DAX +1.00% dropped 0.5%, the French CAC 40 /zigman2/quotes/210597958/delayed FR:PX1 +1.35% slid 0.3% and the FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX +0.85% fell 0.2%. The pound /zigman2/quotes/210561263/realtime/sampled GBPUSD +0.0218% and euro /zigman2/quotes/210561242/realtime/sampled EURUSD +0.0085% also eased as the dollar /zigman2/quotes/210598269/delayed DXY +0.09% climbed.

U.S. equity futures /zigman2/quotes/209948968/delayed ES00 -0.09% /zigman2/quotes/210407078/delayed YM00 -0.09% turned higher, led by a 1% gain for Nasdaq-100 /zigman2/quotes/210219788/delayed NQ00 -0.04% futures. The Nasdaq Composite /zigman2/quotes/210598365/realtime COMP +1.04% declined 1.1% on Tuesday, with the Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA +0.68% slumping more than 300 points and the S&P 500 /zigman2/quotes/210599714/realtime SPX +1.01% falling 0.8%.

Losses in Europe were led by banks as yields /zigman2/quotes/211347112/realtime BX:TMBMKDE-10Y 0.00% /zigman2/quotes/211347177/realtime BX:TMBMKGB-10Y 0.00% also eased in Germany and the U.K. Banks are guided by yields as benchmarks for interest rates charged on loans. Shares of HSBC /zigman2/quotes/208272822/composite HSBC +0.33% /zigman2/quotes/203901799/delayed UK:HSBA +0.22% were down 2%.

With investors rattled by fresh restrictions in major economies such as Germany and the Netherlands, there was some brighter news via a preliminary “flash” reading of the IHS Markit eurozone composite purchasing managers index, which rose to 52.5 in March from 48.8 in February.

“By rising above 50.0, the latest reading indicated the first increase in business activity since last September, with the current expansion the largest recorded since last July and the second-steepest seen over the past 28 months,” said IHS Markit.

Vaccine news will remain in focus, with the European Union on Wednesday expected to announce draft emergency legislation that will allow it to control exports of COVID-19 vaccines, according to a report in the New York Times . That is a day after drug company AstraZeneca /zigman2/quotes/200304487/composite AZN +0.47% /zigman2/quotes/203048482/delayed UK:AZN +0.25% came under scrutiny over data it supplied to the U.S. about a trial there.

Shares of major oil companies such as Total , BP /zigman2/quotes/207305210/composite BP -0.38% /zigman2/quotes/202286639/delayed UK:BP +0.04% and Royal Dutch Shell /zigman2/quotes/205095589/composite RDS.A -0.58% /zigman2/quotes/205095589/composite RDS.A -0.58% remained pressure, a day after oil prices tumbled 6% into correction territory over concerns about COVID-19 lockdowns crimping demand and economic rebounds. Both U.S. /zigman2/quotes/211629951/delayed CL.1 +0.14% and global oil prices clawed back some ground on Wednesday. U.S. crude rose 0.7% and Brent gained 1% after a massive cargo ship got stuck in Egypt’s Suez Canal, a vital waterway for global shipments.

Read: The ECB’s Lane says lockdowns won’t derail European recovery. The market is starting to get jittery.

Shares of semiconductor companies ASML Holding /zigman2/quotes/210293876/composite ASML +2.50% /zigman2/quotes/200425945/delayed IT:ASML +2.98% and ASM International /zigman2/quotes/201180544/delayed NL:ASM +2.98% climbed 4% and 6%, respectively, after Intel /zigman2/quotes/203649727/composite INTC -5.29% late on Tuesday announced aggressive plans to expand its manufacturing capacity. 

“Intel’s update yesterday pointed to elevated and sustained capex in the near future, a positive for the semiconductor equipment industry,” said Tammy Qiu, analyst at Berenberg, in a note to clients.

Shares of Carrefour /zigman2/quotes/208564127/delayed FR:CA +1.14% rose 0.4%. The French retail chain said its Brazilian unit has entered into an agreement with U.S. retail giant Walmart /zigman2/quotes/207374728/composite WMT +0.82% and private-equity firm Advent International to buy Brazilian food retailer Grupo BIG Brasil in a deal valuing the company at roughly €1.1 billion ($1.30 billion).

/zigman2/quotes/210599654/delayed
XX : STOXX
461.51
+4.98 +1.09%
Volume: 0.00
July 23, 2021 11:03p
loading...
/zigman2/quotes/210597999/delayed
DAX
DX : Xetra Indices
15,669.29
+154.75 +1.00%
Volume: 54,897
July 23, 2021 6:30p
loading...
/zigman2/quotes/210597958/delayed
FR : France: Euronext Paris
6,568.82
+87.23 +1.35%
Volume: 56,118
July 23, 2021 6:05p
loading...
/zigman2/quotes/210598409/delayed
UK : FTSE UK
7,027.58
+59.28 +0.85%
Volume: 426,695
July 23, 2021 4:52p
loading...
/zigman2/quotes/210561263/realtime/sampled
US : Tullett Prebon
1.3749
+0.0003 +0.0218%
Volume: 0.0000
July 23, 2021 4:59p
loading...
/zigman2/quotes/210561242/realtime/sampled
US : Tullett Prebon
1.1773
+0.0001 +0.0085%
Volume: 0.0000
July 23, 2021 4:59p
loading...
/zigman2/quotes/210598269/delayed
US : U.S.: ICE Futures U.S.
92.91
+0.08 +0.09%
Volume: 0.00
July 23, 2021 4:59p
loading...
/zigman2/quotes/209948968/delayed
US : U.S.: CME
$ 4,399.25
-3.85 -0.09%
Volume: 1.11M
July 23, 2021 4:00p
loading...
/zigman2/quotes/210407078/delayed
US : U.S.: CBOT
$ 34,919.00
-32.00 -0.09%
Volume: 132,679
July 23, 2021 3:59p
loading...
/zigman2/quotes/210219788/delayed
US : U.S.: CME
$ 15,091.50
-6.50 -0.04%
Volume: 441,123
July 23, 2021 3:59p
loading...
/zigman2/quotes/210598365/realtime
US : Nasdaq
14,836.99
+152.39 +1.04%
Volume: 3.50M
July 23, 2021 5:16p
loading...
/zigman2/quotes/210598065/realtime
US : Dow Jones Global
35,061.55
+238.20 +0.68%
Volume: 315.06M
July 23, 2021 5:16p
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
4,411.79
+44.31 +1.01%
Volume: 1.78B
July 23, 2021 5:16p
loading...
/zigman2/quotes/211347112/realtime
add Add to watchlist BX:TMBMKDE-10Y
BX : Tullett Prebon
-0.42
0.00 0.00%
Volume: 0.00
July 23, 2021 6:01p
loading...
/zigman2/quotes/211347177/realtime
add Add to watchlist BX:TMBMKGB-10Y
BX : Tullett Prebon
0.59
0.00 0.00%
Volume: 0.00
July 23, 2021 5:01p
loading...
/zigman2/quotes/208272822/composite
US : U.S.: NYSE
$ 27.61
+0.09 +0.33%
Volume: 2.39M
July 23, 2021 4:00p
P/E Ratio
18.55
Dividend Yield
2.70%
Market Cap
$112.81 billion
Rev. per Employee
$330,477
loading...
/zigman2/quotes/203901799/delayed
UK : U.K.: London
401.60 p
+0.90 +0.22%
Volume: 8.62M
July 23, 2021 4:35p
P/E Ratio
18.31
Dividend Yield
2.72%
Market Cap
£82.03 billion
Rev. per Employee
£257,711
loading...
/zigman2/quotes/200304487/composite
US : U.S.: Nasdaq
$ 58.23
+0.27 +0.47%
Volume: 14.13M
July 23, 2021 4:00p
P/E Ratio
38.25
Dividend Yield
2.35%
Market Cap
$180.65 billion
Rev. per Employee
$365,423
loading...
/zigman2/quotes/203048482/delayed
UK : U.K.: London
8,480.00 p
+21.00 +0.25%
Volume: 1.72M
July 23, 2021 4:35p
P/E Ratio
37.06
Dividend Yield
2.44%
Market Cap
£131.37 billion
Rev. per Employee
£282,763
loading...
/zigman2/quotes/207305210/composite
US : U.S.: NYSE
$ 23.54
-0.09 -0.38%
Volume: 8.83M
July 23, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
5.27%
Market Cap
$78.75 billion
Rev. per Employee
$2.86M
loading...
/zigman2/quotes/202286639/delayed
UK : U.K.: London
284.10 p
+0.10 +0.04%
Volume: 21.85M
July 23, 2021 4:35p
P/E Ratio
N/A
Dividend Yield
5.38%
Market Cap
£57.27 billion
Rev. per Employee
£2.21M
loading...
/zigman2/quotes/205095589/composite
US : U.S.: NYSE
$ 37.87
-0.22 -0.58%
Volume: 3.11M
July 23, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
2.99%
Market Cap
$145.00 billion
Rev. per Employee
$1.97M
loading...
/zigman2/quotes/205095589/composite
US : U.S.: NYSE
$ 37.87
-0.22 -0.58%
Volume: 3.11M
July 23, 2021 4:00p
P/E Ratio
N/A
Dividend Yield
2.99%
Market Cap
$145.00 billion
Rev. per Employee
$1.97M
loading...
/zigman2/quotes/211629951/delayed
US : U.S.: Nymex
$ 72.17
+0.10 +0.14%
Volume: 257,102
July 23, 2021 5:00p
loading...
/zigman2/quotes/210293876/composite
US : U.S.: Nasdaq
$ 748.14
+18.22 +2.50%
Volume: 1.07M
July 23, 2021 4:00p
P/E Ratio
54.60
Dividend Yield
0.37%
Market Cap
$312.94 billion
Rev. per Employee
$567,632
loading...
/zigman2/quotes/200425945/delayed
IT : Italy: Milan
638.50
+18.50 +2.98%
Volume: 438.00
July 23, 2021 5:35p
P/E Ratio
55.61
Dividend Yield
0.43%
Market Cap
€266.07 billion
Rev. per Employee
€497,934
loading...
/zigman2/quotes/201180544/delayed
NL : Netherlands: Euronext Amsterdam
304.50
+8.80 +2.98%
Volume: 293,124
July 23, 2021 5:35p
P/E Ratio
44.95
Dividend Yield
0.66%
Market Cap
€14.78 billion
Rev. per Employee
€514,178
loading...
/zigman2/quotes/203649727/composite
US : U.S.: Nasdaq
$ 53.00
-2.96 -5.29%
Volume: 67.74M
July 23, 2021 4:00p
P/E Ratio
11.79
Dividend Yield
2.62%
Market Cap
$215.02 billion
Rev. per Employee
$704,042
loading...
/zigman2/quotes/208564127/delayed
FR : France: Euronext Paris
15.95
+0.18 +1.14%
Volume: 1.81M
July 23, 2021 5:35p
P/E Ratio
20.11
Dividend Yield
3.01%
Market Cap
€12.89 billion
Rev. per Employee
€223,954
loading...
/zigman2/quotes/207374728/composite
US : U.S.: NYSE
$ 142.43
+1.16 +0.82%
Volume: 5.32M
July 23, 2021 4:00p
P/E Ratio
33.11
Dividend Yield
1.54%
Market Cap
$399.11 billion
Rev. per Employee
$243,109
loading...

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.