Europe close: Stocks mostly lower at the end of the week
By Alexander Bueso
Date: Friday 01 Oct 2021
(Sharecast News) - European stocks finished the week on a down note as persistent worries about an economic slowdown and rising inflation rattled investors.
The pan-European Stoxx 600 index fallen 0.42% with most major regional bourses lower alongside.
Germany's Dax dropped 0.68% to 15,156.44, with the Cac-40 drifting down 0.04%.
Spain's Ibex 35 was the main exception, adding 0.04% to 8,799.5.
A survey showed euro zone manufacturing growth remained strong in September but activity took a big hit from supply chain bottlenecks that are likely to persist and keep inflationary pressures high.
Data earlier from Asia showed manufacturing activity was lacklustre in September as signs of slowing Chinese growth and factory shutdowns caused by the coronavirus pandemic weighed on the region's economies.
"The litany of current woes which have beset investors continue to grow. Aside from the Federal Reserve tapering programme, further evidence of slowing growth in China and elevated inflation on both sides of the pond, additional concerns are appearing as the US considers its debt ceiling actions and whether to proceed with the President's proposed (and significant) infrastructure spending plan," said interactive investor's Richard Hunter.
In equity news, shares in UK online electricals retailer AO World plunged 24% after missing estimates in an unscheduled trading update that revealed the impact of a shortage of delivery drivers in the UK and competitive pressures in Germany.
Shares in Norwegian renewable power producer Scatec fell 10% after a delay to the start of construction of a storage project in South Africa. It also said it had decided
The renewable industry is currently affected by cost inflation and supply chain disruptions, which to a varying degree affects Scatec's project backlog and pipeline. Scatec has decided not to move forward with backlog projects totalling 166 MW in Brazil and Ukraine "as projected margins and returns fall below the company's hurdle rates".
The company expects total impairment of NOK 40m - 50m (£4m) of development cost related to the two projects.
"On this basis, Scatec will not reach the target of 5.9 GW in operation or under construction by the end of 2021, and the project backlog has been lowered from 2,081 MW to 1,915 MW," the company said.
The pan-European Stoxx 600 index fallen 0.42% with most major regional bourses lower alongside.
Germany's Dax dropped 0.68% to 15,156.44, with the Cac-40 drifting down 0.04%.
Spain's Ibex 35 was the main exception, adding 0.04% to 8,799.5.
A survey showed euro zone manufacturing growth remained strong in September but activity took a big hit from supply chain bottlenecks that are likely to persist and keep inflationary pressures high.
Data earlier from Asia showed manufacturing activity was lacklustre in September as signs of slowing Chinese growth and factory shutdowns caused by the coronavirus pandemic weighed on the region's economies.
"The litany of current woes which have beset investors continue to grow. Aside from the Federal Reserve tapering programme, further evidence of slowing growth in China and elevated inflation on both sides of the pond, additional concerns are appearing as the US considers its debt ceiling actions and whether to proceed with the President's proposed (and significant) infrastructure spending plan," said interactive investor's Richard Hunter.
In equity news, shares in UK online electricals retailer AO World plunged 24% after missing estimates in an unscheduled trading update that revealed the impact of a shortage of delivery drivers in the UK and competitive pressures in Germany.
Shares in Norwegian renewable power producer Scatec fell 10% after a delay to the start of construction of a storage project in South Africa. It also said it had decided
The renewable industry is currently affected by cost inflation and supply chain disruptions, which to a varying degree affects Scatec's project backlog and pipeline. Scatec has decided not to move forward with backlog projects totalling 166 MW in Brazil and Ukraine "as projected margins and returns fall below the company's hurdle rates".
The company expects total impairment of NOK 40m - 50m (£4m) of development cost related to the two projects.
"On this basis, Scatec will not reach the target of 5.9 GW in operation or under construction by the end of 2021, and the project backlog has been lowered from 2,081 MW to 1,915 MW," the company said.
Email this article to a friend
or share it with one of these popular networks:
You are here: news
10 Lower Thames St,
London EC3R 6EN