DAX Falls On Growth Worries

RTTNews | 895 dias atrás
DAX Falls On Growth Worries

(RTTNews) - German stocks fell sharply on Thursday as Federal Reserve chair Jerome Powell acknowledged the possibility of a recession and data showed German manufacturers saw business activity slump to its lowest level in 23 months in June.

The flash composite PMI, which tracks the manufacturing and services sectors that together account for more than two-thirds of the German economy, dropped to 51.3 from 53.7 in May.

The benchmark DAX fell 151 points, or 1.2 percent, to 12,993 after tumbling 1.1 percent the previous day.

Siemens Energy shares declined 2 percent. The German energy company and France's Air Liquide have announced a joint venture for the series production of industrial scale renewable hydrogen electrolyzers in Europe.

Real estate group Aroundtown plunged nearly 10 percent after J.P. Morgan downgraded the stock to "underweight".

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A report released by the Institute for Supply Management on Wednesday showed U.S. service sector growth slowed by more than anticipated in the month of November. The ISM said its services PMI fell to 52.1 in November from 56.0 in October. While a reading above 50 still indicates growth, economists had expected the index to show a much more modest decrease to 55.5.
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U.S. Private Sector Job Growth Falls Modestly Short Of Estimates In November

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A report released by payroll processor ADP on Wednesday showed private sector employment in the U.S. increased by slightly less than expected in the month of November. ADP said private sector employment climbed by 146,000 jobs in November after jumping by a downwardly revised 184,000 jobs in October.
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