European shares sap five-day rally as earnings’ reports underscore pandemic hits

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European shares sap five-day rally as earnings’ reports underscore pandemic hits

On Wednesday, the 15th of April 2020, a slew of European bourses had winded down the day deeper in to the reds, wrapping up a five-day long streak of gains, as the first round of earnings’ reports had highlighted the extent of damages the pandemic-driven forced lockdowns had brought in, while the energy stocks had plummeted further over worries of a double whammy of a deep decline in demand alongside a supply glut, which the latest OPEC+ output cut of 9.7 million barrels per day appeared to have failed to address.

Aside from that, the regional pan-European STOXX 600, which had gained more than 8 per cent since March 8th over early signs of ebbing off of the pandemic in Europe, slid 3.3 per cent on Wednesday (April 15th) over frets of much bleaker-than-anticipated first quarterly earnings’ reports.

Meanwhile, citing that the bailout packages-driven rally in Europe seemed to have hit a blind alley of a blistering economic shortfalls, a market analyst at CMC Markets in London, David Madden said on Wednesday (April 15th), “Much of the ground that European equities have made since mid-March was fuelled by rescue schemes and, more recently, the levelling-off of the rate of infections, but traders are facing up to the prospect of a painful economic downturn.

” Citing statistics, on Wednesday’s (April 15th) European market closure, London’s FTSE 100 faltered 3.34 per cent to 5,597.65, Frankfurt’s DAX dwindled 3.90 per cent to 10,279.76, while the French CAC 40 had been hit with a heavy whiplash of 3.76 per cent to round off Wednesday’s (April 15th) market at 4,353.72.

Elsewhere in the Europe, Madrid’s benchmark IBEX 35 had winded down the day 3.79 per cent lower to 6,839.50, while Italy’s FTSE MIB nosedived 4.78 per cent to 16,719.07.