FTSE and DAX went to the bottom

The next issue of Europe was forced to drop FTSE and DAX

In brief: European stock market is slowly and steadily declining against the background of the negative mood of investors - FTSE and DAX did not stand the pressure of the bears.

The British FTSE 100, German DAX and the Swiss index SMI are going down. Stock trades in Europe 12 May 2010. opened by the decrease of the leading indexes. The negative dynamics of stock price is observed in European trading platforms has the second consecutive session. Rapid optimism generated by the 10 May this year news that the EU will create a stabilization mechanism of 750 billion euros, several bedrooms, and the players of the stock market talk that the tension in the situation with the debt problems of Greece are still putting pressure on the market.

In the long run, market participants are still doubts that Athens, as well as other euro-area with a large budget deficit, will be able to hold the planned program, requiring the introduction of austerity measures, and to avoid the debt restructuring. Against this background, the banking sector, a fall of quotations of European credit institutions. For example, shares of British HSBC and Barclays have fallen in price by 1% and 0.7% respectively, the paper French BNP Paribas, Societe Generale and Credit Agricole have fallen in price by 1,4%, 1,8% and 1,7% respectively. Similar is the case with securities of German banks Deutsceh Bank (-1,5%) and Commerzbank (-0,1%). However, some support to the market providing corporate news. Netherlands financial and insurance company ING Groep NV returned to profitability in the I quarter of 2010. (Figure amounted to 1.33 billion euros), whereas during the same period a year earlier the company received a net loss of 793 million euros. As a result, the opening of the trading session ING shares went up by 4,4%.

The British FTSE 100 index fell by 12.52 points (-0.23%) – up to 5,321.69 points, the French CAC 40 – at 20.82 points (-0.56%), to mark 3,672.38 points, the Swiss index SMI – at 20.61 points (-0.32%) – up to 6,488.39 points. At the same time the German DAX rose by 37.85 points (0.63%) – up to 6,075.56 points. In positive territory today and traded securities of the largest German telecom Deutsche Telekom AG. The company today introduced the financial report for the I quarter of 2010. That the net profit amounted to 767 million euros, while for the same period a year earlier the company received a net loss of 1.12 billion euros. Against this backdrop, shares of Deutsche Telekom went up by 2,4%. Pleased investors and the quarterly report by German energy company RWE AG, which surpassed analysts’ expectations. RWE shares added to the price of 1,4%.

Ukrainian Globalist
2010-05-12 09:24, Economics.

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