European shares end lower, post weekly plunge amid dismal business activity data


by   |  VIEW 421
European shares end lower, post weekly plunge amid dismal business activity data

On Friday, the 3rd of April 2020, a slew of European stock exchanges had wrapped up the session lower and posted weekly plunges, as a number of bleaker business activity data had vindicated the havoc-scale economic toll the month-long lockdowns were going to herald, while many analysts expressed frets of a deep economic and earnings recession in context of a tens of millions of job losses in an economic atmosphere largely depended upon consumer spending.

As there had not been any sign of a slowdown of the pandemic in most of the countries of the bloc, investors went for a broad-based weekend sell-off over growing uncertainties and the regional pan—European STOXX 600 ended the day 1 per cent down, while insurers’ stocks bore the heaviest brunt on Friday’s (April 3rd) market after a EU regulator had asked them to cancel share repurchase programs and dividends in order to conserve liquidity in these times of grave economic apocalypse.

Meanwhile, as EU Composite data revealed earlier on Friday (April 3rd) that the bloc’s business activities had shrunk severely last month, probably the worse since the World War II, a strategist at AxiCorp, Stephen Innes said on Friday (April 3rd), “We are entering a climate with lower or no dividends, fewer financial options, but most importantly, fewer jobs and lower output.

Many small- and large-sized businesses will not survive this storm. ” Citing statistics, on Friday’s (April 3rd) European market closure, London’s FTSE 100 lost 1.18 per cent to 5,415.60, while London’s mid-capped FTSE Mid 250 faltered 2.34 per cent to 14,099.21, nearly 26 per cent lower than its most recent peak reached a month earlier.

Besides, Frankfurt’s DAX shed 0.47 per cent to 9,525.77 and French CAC 40 curbed out 1.57 per cent of its earlier gains to 4,154.58, while Madrid’s IBEX 35 managed to round off the day in the greens and gained 0.11 per cent to 6,581.60.

Elsewhere in the Europe, Italy’s benchmark FTSE MIB had muzzled 2.67 per cent to 16,384.35 on Friday’s (April 3rd) market wind up.