European stocks slide on recession fears

European stocks were subdued on Friday as US-China tensions mounted and investors awaited key labor market data from the US later in the day for cues on the Fed’s tightening course. I was.

Days after U.S. House Speaker Nancy Pelosi visited Taiwan, the Chinese government decided to impose sanctions on her and her family.

China said it launched a missile over Taiwan for the first time, raising tensions in the region.

Investors were also reacting to the Bank of England’s biggest rate hike in 27 years and warnings of a prolonged recession approaching.

The pan-European STOXX 600 fell 0.2% to 437.99 after closing 0.2% higher on Thursday.

Germany’s DAX fell 0.2%, despite data showing a consecutive increase in industrial output in June despite supply problems in China and higher energy prices.

Output in Europe’s manufacturing powerhouse was up 0.4% in June from the previous month on a calendar-adjusted basis, Destatis said.

France’s CAC 40 Index fell 0.5% and the UK’s FTSE 100 fell 0.1%.

Credit Suisse fell 1% after reports that Swiss bank executives were in talks to cut thousands of roles around the world.

Pirelli & C. SpA jumped 4.3% after the Italian tire maker reported strong second-quarter profit driven by strong revenue growth. The company also raised its earnings forecast for fiscal year 2022.

German logistics company Deutsche Post posted better-than-expected second-quarter earnings, up nearly 6%.

Insurer Allianz fell 2.3% after reporting a 23% decline in second-quarter net profit.

Auto and arms maker Rheinmetall plunged 6.2% despite higher first-half profit and sales.

Mining companies Anglo American, Antofagasta and Glencore posted modest gains in London as copper and other base metals rose on a weaker dollar.

Oil and gas company BP Plc fell nearly 2%, while Shell fell 1.2%. This is because oil is headed for 10% weekly losses on recession fears.

Capita plunged 6.3%.of work Process Outsourcing and Professional Services Providers said its profit before tax plummeted to £100,000 in the first half from £261.1m last year, reflecting business exits and portfolio goodwill impairments.

The London Stock Exchange Group rose 3% on news of a share buyback.

Advertising agency WPP plummeted 7% despite raising its sales outlook.

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