European shares extend losses as the week draws to a close

Equities

European shares are trading lower Friday, extending earlier losses amid weaker sentiment and mixed earnings and deals news.

European shares are trading lower in the early-to-mid afternoon session Friday, as investor sentiment follows the weaker US session overnight. Earnings and deals news are making their mark, but overall, markets are weaker as part of the broader global stocks downturn.

By 1335 BST, the EUROSTOXX 600 lost 1.35%, while the EUROSTOXX 50 was down 1.49%. The regional performance was also negative. The German DAX was 1.21% in the red, the French CAC fell 1.31% and the Spanish IBEX was 1.35% lower.

All mentioned indices have lost significantly more ground in the afternoon part of the European trading session.

Volatility hits European indices

Volatility that has been more strongly apparent across the US and Asian indices earlier in the week, hit hard in Europe Friday.

European stocks staged a rebound Wednesday, followed by declines Thursday. And, while there were signs European investors weren’t too downbeat at the session open, that changed as the day progressed.

While there had been a little respite around the middle of the week, it appears investors’ minds remain firmly on potentially faster rate rises in the US and UK than previously anticipated, in the wake of a higher inflation environment.

"Equities are off their best levels and back under pressure," Mike van Dulken, head of research at Accendo Markets said, in a Business Insider report.

European stock moves

Amid the volatility and downbeat sentiment, earnings reports and deals news continued, Friday, leading to a number of stocks weighing on the market.

Amundi shares sank 9% to €65.14 after the asset management firm reported its latest earnings results.

AP Moeller Maersk shares, meanwhile, were 0.82% lower at DKK10,275 on its earnings report, which also included a positive 2018 outlook.

Peugeot owner, PSA shares were some 1.86% lower at €17.64, after announcing it would buy a controlling stake in Chinese auto parts distributor Jian Xin.