You are here: Home » International » News » Markets
Business Standard

Powell disappointment hits European stocks, tech slides again

The pan-European STOXX 600 fell 0.9% in early trading

Topics
Jerome Powell | World shares | Wall Street

Reuters 

Jerome Powell, chair of the US Federal Reserve. Photo: Reuters
Jerome Powell, chair of the US Federal Reserve. Photo: Reuters

Rising U.S. bond yields put European equities under pressure again on Friday after Federal Reserve Chair Jerome Powell’s remarks failed to soothe investor concerns about a recent surge in borrowing costs.

The pan-European STOXX 600 fell 0.9% in early trading, with shares of travel, mining, and financial services companies leading the declines.

While Powell said the rise in yields was “notable”, he did not consider it a “disorderly” move, or one that pushed long-term rates so high the Fed might have to intervene in more forcefully to bring them down.

The comments fuelled a sell-off on on Thursday, pushing the tech-heavy Nasdaq to erase its yearly gains. European tech shares also fell 1.0%, on course for their second weekly loss.

Oil stocks slipped as crude prices jumped to near 14-month highs after OPEC and its allies agreed not to increase supply in April. [O/R]

London Stock Exchange Group fell 3.6% despite posting steady full-year results for 2020 and announcing a 7% dividend increase.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Fri, March 05 2021. 14:26 IST
RECOMMENDED FOR YOU
.