Investors remain concerned about a slowdown in the global economic recovery, inflationary pressures, and possible withdrawal of stimulus programs by central banks. At the same time, they analyze companies' quarterly reporting data, focusing on how problems in global supply chains have affected financial results. Traders will also take into account the forecasts that companies are making for the coming year.
According to Markets.com broker Neil Wilson, risk appetite among investors remains influenced by a number of factors - financial results, inflation and expectations that central banks will tighten the screws. Nonetheless, CMC Markets analyst Michael Hewson noted that many were concerned about rising costs and supply chain disruptions, but so far they have not seen significant declines in company performance.
Swiss exports in September 2021 fell 0.2% from the previous month to CHF 21.1 billion ($ 22.9 billion), customs data showed. Exports of Swiss watches in September amounted to 1.9 billion francs ($ 2.06 billion), which is 3.1% higher than in the pre-crisis September 2019. Imports last month increased 0.9% to 16.7 billion francs. Switzerland's foreign trade surplus in September fell to 4.4 billion francs from a record level of 4.6 billion francs in August.
Spain's imports in August jumped 33.9% year-on-year to € 25.97 billion, according to the country's Ministry of Industry, Commerce and Tourism. Exports increased by 25.1% to 22.1 billion euros. As a result, Spain's trade deficit in August increased to its maximum since September 2019 - 3.87 billion euros from 1.73 billion euros.
The composite index of the largest enterprises in the region Stoxx Europe 600 increased by 0.04% and amounted to 467.24 points.
German DAX added 0.27%, British FTSE 100 - 0.19%. The Italian FTSE MIB and the Spanish IBEX 35 increased 0.25% and 0.67%, respectively. French CAC 40 down 0.05%
British construction company Bellway PLC rose 1.6% after the financial statement was published. The company's net profit in fiscal 2021 more than doubled, it plans to sell 11.1 thousand new homes in the next fiscal year, which is 10% more than the previous one.
RWE rose 1.1%. The German energy company plans to invest around £ 15bn ($ 20.6bn) in clean technology and infrastructure in the UK by 2030.
Swedish telecom equipment maker Ericsson AB fell 3.4%. The company's quarterly revenue declined 2.1% to SEK 56.26 billion on the back of a significant decline in revenues in China and supply chain problems at the end of the quarter.
The capitalization of the French food and beverage manufacturer Danone SA decreased by 3%. The company increased revenue in the third quarter by 5.8%, but sales fell by 0.8%, despite the fact that analysts had expected growth.
The shares of the Swedish telecommunications operator Tele2 fell 5.2%. Tele2 cut its bottom line by 9%, but analysts were expecting a bigger drop.
The Swiss biotech company Bachem Holding lost almost 11% in value. The company announced a placement of 750 thousand new shares, as a result of which it plans to raise 584 million Swiss francs ($ 634 million).
German software developer TeamViewer AG fell 2.8% after banks Berenberg and Exane BNP Paribas downgraded their recommendations to the stock.