Europe open: Shares slump as shells hit Kyiv, China Covid cases rise

by | Mar 15, 2022

European shares fell sharply at the open on Tuesday as Russian shells fell on the outskirts of the Ukrainian capital Kyiv and Chinese Covid cases continued to rise.
The pan-European Stoxx 600 index was down 1.5% in early deals with all major regional bourses following suit.

Peace talks between Russia and Ukraine were ongoing as Russian forces continued to shell Ukrainian cities and their civilian populations. Meanwhile, China and Russia were denying claims by the US that Moscow had asked Beijing for military assistance.

Asian markets slumped overnight as China reported a growing number of new Covid cases. The Shanghai Composite and Hong Kong’s Hang Seng index were down 5% and 6% respectively.

The Brent crude price fell 6% to $96 a barrel on hopes the peace talks would ease fears of further supply disruption and China’s Covid-19 cases hinted at lower demand.

Investors were also eyeing the US Federal Reserve meeting on Wednesday, with markets widely expecting a 25 basis point rate rise to offset inflation. The Bank of England is expected to follow suit a day later.

In equity news, Swiss lab instrument maker Tecan Group slumped 10% despite a strong rise in 2021 profit.

Shares in Swedish fashion retailer H&M slipped 3.2% after reporting a rise in quarterly sales that was in line with expectations.

Tobacco and nicotine products maker Swedish Match fell 6% after the company said it was suspending plans to spin off and list its US cigar business.

Dutch tech investor Prosus, which has a stake in China’s Tencent, fell another 9.72% amid continued weakness in Chinese tech shares.

Related articles

Europe midday: Shares slip into red on Middle East tensions

Europe midday: Shares slip into red on Middle East tensions

(Sharecast News) - European shares fell into the red on Wednesday as Middle East tensions were ratcheted up after the assassination of the Hamas deputy leader Saleh al-Arouni in Lebanon, raising fears of retaliation by the Islamic group Hezbollah against Israel. The...

Europe open: Shares edge ahead as Middle East tensions weigh

Europe open: Shares edge ahead as Middle East tensions weigh

(Sharecast News) - European shares edged ahead in a cautious start to trade on Wednesday as Middle East tensions were ratcheted up after the assassination of the Hamas deputy leader Saleh al-Arouni in Lebanon, raising fears of retaliation by the Islamic group...

Trending stories

Join our mailing list

Subscribe to our mailing list to receive regular updates!

x