European Shares Subdued In Cautious Trade

Business

European stocks were subdued in cautious trade on Monday amid surging ovid-19 infections around the world and an increasingly uncertain interest rate outlook.

The overall number of coronavirus cases is fast approaching 307 million with the spread of the Omicron variant of the virus across the globe.

The first U.S. rate hike could be in March, with Goldman expecting the Fed to raise borrowing costs at least four times by the end of 2022 versus the previous prediction of three rate hike.

The pan European Stoxx 600 slipped 0.2 percent to 485.42 after declining 0.4 percent on Friday.

The German DAX, France’s CAC 40 index and the U.K.’s FTSE 100 were down between 0.1 percent and 0.2 percent.

Skanska rose 0.7 percent. The global construction and development has signed a contract with NJ TRANSIT to build the Portal North Bridge replacement in Hudson County, New Jersey, USA.

Sodexo S.A. climbed 1.2 percent. The French food services and facilities management company said that it agreed to buy Frontline Food Services, doing business as Accent Food Services, to further accelerate its food transformation in North America.

Technology consulting company Atos plunged more than 17 percent. The technology consulting company issued its second profit warning in seven months, citing delays in customer deals and pressured margins at its hardware and software resales unit.

Carige soared 4.4 percent after reports that BPER Banca, Italy’s fifth-largest bank, improved its offer to prevail over rival suitor Credit Agricole Italia.

Fintech firm Plus500 rallied 2.7 percent in London after saying its FY21 financial performance was ahead of market view.

Rotork fell about 1 percent after announcing the appointment of Kiet Huynh as Chief Executive Officer.

TT Electronics gained 1 percent. The provider of electronic components and manufacturing services has acquired the power and control business of Ferranti Technologies Ltd. from Elbit System UK Ltd. for 9 million pounds in cash.

Assura rose over 1 percent after announcing strong investment activity in third quarter ended 31 December 2021.

German automaker BMW rallied 2.5 percent after Goldman Sachs upgraded its rating on the stock.

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