It could be some time before the optimists dare to return to the market, wrote market analyst Neil Wilson of the trading house Markets.com. You might even choose to wait until after the US election in early November.
The leading Eurozone index EuroStoxx was 0.45 percent lower at 3,091.31 points late in the morning, after having lost more than 1 percent in the meantime. In Paris, the Cac 40 fell 1.02 percent to 4766.80 points, while the London FTSE 100 (“Footsie”) barely moved in view of strong bank values at 5795.46 points.
The banking industry, however, provided a bright spot, leading the European sector overview with a plus of 0.81 percent. The major British bank HSBC and the Spanish competitor Santander were able to convince investors with their respective quarterly figures.
The corona pandemic did not hit HSBC as hard as feared in the third quarter. The main reason for this was lower loan loss provisions for bad loans and loan write-offs. The shares were clearly at the top of the “Footsie” with a plus of 5.6 percent.
Santander earned significantly more than expected in the third quarter. Lower provisions than expected and a better trading result would have helped, wrote the expert Benjie Creelan-Sandford from the analysis house Jefferies. But the net interest income and the fees were also better than expected. For the papers it went up at the EuroStoxx peak by around four percent.
In the technology sector, the French consulting and IT service company provided Capgemini with its quarterly figures for reassurance after the day before the German software group SAP had shocked investors with reduced annual targets and a gloomy medium-term outlook. Capgemini shares gained three and a half percent on Tuesday at the top of the Cac 40.
The British oil company BP Although it was still in the red in the third quarter due to poor oil demand in the Corona crisis, it still performed slightly better than analysts expected. The shares were recently just under two percent up.
– .
