DAX Global X Funds Global X DAX Germany ETF

By Emily Horton

Shares of Renault fall after its strategic partner Nissan releases a profit warning

Weak Chinese economic data for April dragged European markets down on Wednesday.

How did markets perform?

The Stoxx 600 dipped by 0.1% to 375.85 on Wednesday, after adding 1% the previous day.

In Germany, the DAX (DAX) fell by 0.2% to 11,970.93, following a 1% gain made on Tuesday.

France's CAC 40 dropped by 0.4% to 5,323.26, after rising to 1.5% on Tuesday.

Italy's FTSE MIB fell by 0.2% to 20,761.67. On Tuesday, it rose 1.5%.

The U.K.'s FTSE 100 was broadly stable at 7,251.22.

The pound bumped up to $1.2916, having ended Tuesday down 0.5%. The euro edged up to $1.1215 after finishing at 1.1206 the previous day.

What's moving the markets?

Data released on Wednesday showed that China's economic activity wasn't as strong (http://www.marketwatch.com/story/chinas-economic-activity-cools-in-april-2019-05-14) in April. Retail sales grew 7.2% year-over-year, the slowest since 2003, and down from 8.7% the previous month. Industrial growth also slowed to 5.4% from 8.5%.

On Tuesday, President Donald Trump played down tensions between the U.S. and China (http://www.marketwatch.com/story/trump-today-president-downplays-trade-rift-with-china-as-a-squabble-as-he-mulls-more-tariffs-2019-05-14) over trade, calling the situation a "little squabble." Instead Trump highlighted the strength of his relationship with China's President Xi Jinping, but kept up the threat of tariffs.

In the U.K., Prime Minister Theresa May has told the opposition leader Jeremy Corbyn that she will bring her thrice-rejected withdrawal bill (In%20a%20meeting%20with%20Corbyn%20on%20Tuesday,%20the%20PM%20said%20she%20wanted%20to%20see%20the%20bill%20approved%20by%20ministers%20before%20the%20House%e2%80%99s%20summer%20recess%20in%20late%20July.) back before the House of Commons on June 3. In a meeting with Corbyn on Tuesday, May said she wanted to see the bill approved by ministers before the House's summer recess in late July.

Which stocks are active?

Car maker Renault SA's (RNO.FR) share price dipped by 3.5% on Wednesday, after its strategic partner Nissan Motor Co. Ltd (7201.TO) released a profit warning, casting doubts over the proposed merger between the two companies. Nissan is reportedly pushing back on refreshed talks to merge with Renault SA, because such a structure won't improve the Japanese car maker's prospects, a person with knowledge of the situation told Bloomberg (https://www.bloomberg.com/news/articles/2019-05-13/renault-makes-formal-merger-proposal-to-nissan-tbs-reports-jvlt5ggn).

British catering group Compass Group PLC (CPG.LN) moved up 2.8%, after it reported organic revenue growth of 5.5% and operating margins of 7.4%.

German electric utility company RWE AG (RWE.XE) rose by 3.7% after it adjusted its net income to $306 million and confirmed its 2019 forecast.

Shares in Kingfisher PLC (KGF.LN) slipped 2.6% after the retailer announced sales climbed by 0.4% in the first quarter. The Royal Bank of Canada described these results as "underwhelming." Like-for-like comparables are "very soft given snow disruption in major markets last year," while the company "appears to be underperforming materially in France and to a lesser extent, the U.K.," RBC said.

(END) Dow Jones Newswires

May 23, 2019 10:53 ET (14:53 GMT)

Global X Funds Global X ... (NASDAQ:DAX)
Historical Stock Chart
Von Nov 2024 bis Dez 2024

Global X Funds Global X ... (NASDAQ:DAX)
Historical Stock Chart
Von Dez 2023 bis Dez 2024