European stocks fell Thursday, feeling pressure from a rainy day on Wall Street in which big money put positions off the table so that they were not burned by a group of retail investors punishing short sellers.
Down 1.2% Wednesday, the Stoxx Europe 600 SXXP,
trading 1.9% lower. ASML Microchip Equipment Manufacturer Maintains ASML,
part of the Nasdaq-100, collapsed in Amsterdam trade, and the drug company Roche ROG,
he fell into Zurich action.
US stock futures YM00,
NQ00,
marking the opening of a reduction again Thursday, though not as steep as the 633-point nosedive for Dow Jones industrial average DJIA,
Wednesday.
The background for losses in markets are the incredible gains for a group of stocks that many hedge funds have bet on.
“There was no clear catapult behind the plunge in quotas, but market chats suggest it may have been due to hedge funds with short positions in GameStop and other meme stocks closing long positions in other stocks to cover their losses, after the frenzy rally into the previous group. The slowdown in the distribution of COVID vaccines in Europe and the US may have weighed on market sentiment. In addition, Wall Street accelerated its submarine after the FOMC [Federal Open Market Committee] decision, ”said Charalambos Pissouros, senior market analyst at JFD Group.
Nokia NOKIA,
NOK,
the only European company promoted on the WallStreetBets Reddit forum, partly due to its double listing in the US, rose 2% in Helsinki, after a 14% rise in the previous session. The telecom equipment maker released a statement Wednesday saying it did not have a substantive explanation for the sudden rise in its stock.
Diageo DGE conglomerate alcohol.
DEO,
rose 3%, helped by reporting a 1% increase in organic sales during its first fiscal half. Diageo also raised its 2% interim share and said it expects continued improvement in the second half.
Shares of Prudential PRU insurer,
PUK,
2378,
fell 7%, as he said he measures an equity offer ranging from $ 2.5 billion to $ 3 billion to take advantage of Asian growth opportunities, while also saying he will cut off his Jackson National arm in the U.S. to New York stock exchange- registered company. Previous prudence measured initial public offering of Jackson National.