European Stocks Extend Losses as Fed Chair Testimony Weigh on Markets

By Investors Hub

European stocks are extending losses from the previous session on Thursday, with mixed earnings and caution ahead of Federal Reserve Chairman Jerome Powell’s second day on congressional testimony weighing on the markets.

While the U.K.?s FTSE 100 Index has fallen by 0.7 percent, the French CAC 40 Index is down by 1 percent and the German DAX Index is down by 1.5 percent.

In economic news, the Eurozone manufacturing sector continued to expand at a robust pace in February, but the pace of growth slowed from January, final data from IHS Markit showed. The factory Purchasing Managers’ Index fell to a 4-month low of 58.6 from 59.6 in January.

German online fashion retailer Zalando has tumbled after unveiling expansion plans. Swiss employment services group Adecco has also fallen sharply after reporting slower revenue growth at the start of 2018.

British flooring retailer Carpetright has plummeted after issuing its third profit warning in three months.

WPP, the world’s largest advertising firm, has also moved lower after the company cut its long-term profit outlook, saying it is facing significant challenges.

French retailer Carrefour has come under pressure after reporting a net loss for 2017 and issuing a cautious outlook for 2018.

Meanwhile, Anheuser-Busch InBev, the world’s biggest brewer, has jumped after its fourth quarter profit topped expectations.

CRH has also climbed after the building materials group raised its dividend after reporting a 16 percent increase in 2017 pre-tax profits.