Markets fall on weak Chinese trade
GLOBAL SHARES lost momentum yesterday, falling for the first time in five days on the back of weak Chinese trade data, although declines were limited by expectations that policymakers could act to shore up the world’s economies.
The euro fell and yields on bonds of peripheral euro zone countries such as Spain also increased.
THE ISEQ index rose 0.4 per cent to finish at 3,240 yesterday.
Bank of Ireland was the main subject of investor attention after the bank reported first-half results behind expectations, due mainly to lower margins. The stock was trading lower throughout the session, although it recovered somewhat at the end of the day, finishing off 3 per cent at €0.095.
Kingspan was the other big mover, after the insulation company announced two acquisitions in Europe and the Middle East, significantly solidifying its presence in both regions. The stock closed up 5 per cent at €7.084.
Kerry Group built on its strong performance on Thursday after the group upped its full-guidance for the year on the back of a strong first-half performance. The stock rose 1.3 per cent to €39.00.
Paddy Power also advanced, adding 2.5 per cent to close at €55.72 ahead of results later this month.
MOST UK stocks fell, halting the longest winning streak for the FTSE 100 Index since March, as a collapse in Chinese export growth added to concern the global economy is slowing.
Bunzl dropped 4.6 per cent as UBS recommended investors sell the shares, citing a 32 per cent advance in the shares this year.
Flybe Group led airlines lower, sinking 14 per cent, after Europe’s biggest regional airline said full-year sales m would grow no more than 2 per cent, less than previously predicted, clipped by a sluggish European economy.
Flybe revised its outlook after demand for business flights from Britain to continental Europe showed “signs of weakness” in the first quarter, it said in a statement.
International Consolidated Airlines Group, the parent company of British Airways, retreated 1.1 per cent to 149.7 pence while EasyJet declined 0.3 per cent to 555.5 pence, paring losses of as much as 1.9 per cent.
Barclays paced advancing shares after the lender appointed a new chairman. The benchmark FTSE 100 fell 4.4 points, or 0.1 per cent, to 5,847.11 at the close in London, snapping five days of gains.
The volume of shares changing hands on the FTSE 100 was 29 per cent lower than the average of the last 30 days, according to Bloomberg.