Europe midday: Shares stay in red, but earnings hold losses in check

8th Aug 2024 11:57

(Sharecast News) - European shares were in retreat again on Thursday as the previous session's rally fizzled out amid another dump of corporate earnings.

The pan-European Stoxx 600 was down 0.9% at 491 at midday, with all major regional bourses in the red. US markets were lower overnight while Asian shares were mixed.

"Despite assurances from US Fed officials that the world's largest economy is not headed for a recession, stocks wilted under pressure amid concerns about the outlook for the US economy," said Patrick Munnelly of Tickmill Group.

"As a result, Asian stock markets are trading mostly lower on Thursday, following the generally weak handover from Wall Street overnight. In addition, increased geopolitical tensions are negatively impacting the markets."

In equity news, shares in UK insurer Beazley surged 13% after the Lloyd's of London syndicate manager interim results smashed expectations.

Gambling group Entain rose 7.8% as it raised its annual net gaming revenue and earnings forecast, after a better-than-expected second-quarter performance.

Allianz gained 1% as the insurer posted a better-than-expected 7.5% rise in second-quarter net profit and said it was on track to meet its full-year target.

Deutsche Telekom rose after a 7.8% increase in its second quarter core earnings, in line with analysts' consensus.

Among the day's losers were Spirax Group, Siemens Energy and Zurich Insurance also after earnings releases.

Reporting by Frank Prenesti for Sharecast.com