Stock overhang concerns dragged Deutsche Telekom lower as investors ignored the first-half figures and concentrated on the potential for widespread share sales.
Next month sees the first release of the so-called lock-up on Telekom stock issued at the time of the acquisitions of Voicestream Wireless and Powertel, deals which cost $28 billion (€32 billion) and gave Telekom its first real US presence.
Telekom fell to €24.85 before closing off 1.9 per cent at €25.25 in a robust 19.1 million shares traded.
The recent run of numbers from the American Petroleum Institute, with their message of a slowing US economy and expanding stock levels, have weighed heavily on the oil sector. And Brent Blend, the North Sea benchmark, stayed below $25 a barrel yesterday. Share markets, though, helped by the proximity of heavyweight results statements, showed little uncertainty. Total Fina gained 1.4 per cent to €162.60 and Royal Dutch, which puts out a quarterly report tomorrow, added 0.5 per cent at €66.65.
Olivetti, in which Pirelli is buying a 23 per cent stake in
order to gain control of Telecom Italia, came off 3.3 per cent to €1.89 for a two-day fall of more than 18 per cent.
Telecoms equipment groups continued to top the performance charts as what was perceived as bargain hunting after a severe shakeout for the sector ran on for another session. Ericsson gained 3.7 per cent at SKr57.50 and Alcatel 3.6 per cent at €20.35.
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