European Shares Slide Ahead Of Fed Symposium

European stocks fell in cautious trade Thursday as COVID-19 worries persisted and a survey showed that the outlook amongst consumers in Germany is deteriorating heading into September.

Gfk forward looking consumer confidence index dropped from -0.4 to -1.2, marking the worst reading in three months as accelerating inflation and rising COVID-19 cases made consumers more hesitant to buy.

Uncertainty over U.S. monetary policy also weighed, with investors awaiting the outcome of the Jackson Hole symposium for clues on the timing of a tapering of monetary stimulus.

The pan European Stoxx 600 dropped half a percent to 469.59 after ending flat with a positive bias on Wednesday. The German DAX shed 0.7 percent, France’s CAC 40 index gave up half a percent and the U.K.’s FTSE 100 was down 0.4 percent.

Travel-related stocks fell, with IAG, Lufthansa, Air France KLM, TUI AG and Wizz Air Holdings losing 1-2 percent.

British recruitment company Hays rallied 2 percent after it proposed to resume core and special dividends.

Miner Polymetal lost 2 percent after revising its FY2021 capex guidance.

Building material company CRH advanced 1.4 percent after posting positive first-half results.

Vivendi shares jumped 3.9 percent. Universal Music Group, a unit of the French media conglomerate, said it expects further revenue growth this year and it would pay out half of its profits as dividends in the medium term.

Bouygues advanced 1.5 percent. The industrial group raised its guidance after reporting strong growth in sales and earnings during the first half of 2021.

German online food-delivery service Delivery Hero SE declined 1.5 percent after widening its first-half net loss.

Deutsche Bank’s asset management arm DWS Group plunged 12.4 percent on a report the company is being investigated by U.S. authorities over sustainability claims. Deutsche Bank shares were down nearly 2 percent.

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