European Stocks Fall With Carmakers as Busy Earnings Week BeginsBy
European stocks fell as a rout in carmakers outweighed a rally in banks on the first day of the earnings season’s busiest week.
The Stoxx Europe 600 Index fell 0.2 percent at the close. Equities fell as much as 0.6 percent after data showed the euro-area economy in July grew at the slowest pace in six months. Automakers fell for a third day, weighing on Germany’s DAX Index, as concerns lingered about antitrust collusion in the industry. European shares fell last week as a strong euro stoked concern that exporter profits will suffer.
- Almost a third of the companies in the Stoxx 600 are scheduled to report results this week. Deutsche Bank AG, BNP Paribas SA and UBS Group AG are among financial firms slated to do so.
- Among shares moving on corporate results, Gemalto NV tumbled 20 percent after warning of a goodwill impairment charge of around 420 million euros ($489 million) late Friday, leading to analyst downgrades.
- Julius Baer Group Ltd. climbed 4.5 percent after surpassing its target for net new money in the first half.
- A euro at $1.20 versus the U.S. dollar may be the “pain threshold” at which the single currency would damp this year’s long-awaited earnings revival in Europe, according to a Bloomberg survey of 23 strategists and fund managers.
- Adding to weak data in Europe, a report showed manufacturing in Germany expanded less than expected in July. The benchmark DAX Index fell 0.3 percent amid losses in auto shares.
— With assistance by Elena Popina