{"id":107452,"date":"2025-10-07T23:33:11","date_gmt":"2025-10-07T23:33:11","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/107452\/"},"modified":"2025-10-07T23:33:11","modified_gmt":"2025-10-07T23:33:11","slug":"europe-luxury-rebound-in-france-cushions-european-stock-losses-amid-turmoil","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/107452\/","title":{"rendered":"Europe: Luxury rebound in France cushions European stock losses amid turmoil"},"content":{"rendered":"

[BENGALURU] European stocks slipped on Tuesday (Oct 7), dragged down by healthcare and bank shares, while a luxury-led rebound in France kept regional losses in check after Monday\u2019s political upheaval.<\/p>\n

The pan-European Stoxx 600 closed 0.2 per cent lower, coming off its record highs hit in the previous session.<\/p>\n

Spanish stocks also cooled 0.2 per cent, after hitting a near 18-year high on Friday.<\/p>\n

French blue-chip stocks gave up gains to close flat after a sharp sell-off on Monday triggered by Prime Minister Sebastien Lecornu\u2019s abrupt resignation.<\/p>\n

Warning over French budget<\/p>\n

The outgoing leader began two days of last-ditch talks to try to form a new government, as analysts warned that the political chaos could derail the 2026 budget.<\/p>\n

President Emmanuel Macron faced mounting calls to resign or call a snap election, amid a crisis that has seen five prime ministers exit in under two years.<\/p>\n

BT in your inbox\"Newsletter<\/p>\n

Start and end each day with the latest news stories and analyses delivered straight to your inbox.<\/p>\n

\u201cFor financial markets, what really matters is the budget and how that\u2019s going to play out,\u201d said Anthi Tsouvali, multi-asset strategist at UBS Global Wealth Management\u2019s Chief Investment Office.<\/p>\n

\u201cIt\u2019s a situation where we might not have a government for a while, and it will create a lot of volatility.\u201d<\/p>\n

France\u2019s benchmark index remains Europe\u2019s worst performer this year, up 8 per cent, a stark contrast to double-digit gains elsewhere, underscoring the market\u2019s unease over a fragmented parliament and rising instability since Macron\u2019s 2022 re-election.<\/p>\n

SEE ALSO<\/p>\n

\"The\u00a0Stoxx<\/a><\/p>\n

Meanwhile, the outlook for European corporate health has improved slightly, the latest earnings forecasts showed, though the expected results would still be the worst quarterly performance since the first quarter of 2024.<\/p>\n

Healthcare stocks among biggest drags<\/p>\n

The luxury sector jumped 1.8 per cent, as designer debuts among fashion houses and a push for affordability gave investors hope that the sector was set for a gradual comeback.<\/p>\n

Morgan Stanley upgraded its rating on luxury giants LVMH and Kering to \u201coverweight\u201d from \u201cequal weight\u201d, sending their shares up 3.6 per cent and 5.7 per cent, respectively.<\/p>\n

Heavyweight healthcare stocks were among the biggest drags in Europe, down 0.4 per cent as Denmark\u2019s Novo Nordisk lost 2.8 per cent after a US court rejected its challenge to Medicare\u2019s drug price negotiation programme.<\/p>\n

Germany\u2019s Bayer fell 2 per cent, with traders pointing to a Goldman Sachs note that said it expects third-quarter earnings to come below estimates.<\/p>\n

Languishing at the bottom of the Stoxx 600 was B&M, which dropped 7.8 per cent after the discount retailer forecast a 28 per cent plunge in first-half core earnings and lower annual profit.<\/p>\n

Oil and gas got a boost with a 1.5 per cent gain in Shell after the energy major flagged higher LNG production and better gas trading results for the third quarter.<\/p>\n

On the data front, British house prices rose by a slower-than-expected 1.3 per cent in the 12 months to September, while German industrial orders fell for a fourth straight month in August.<\/p>\n

Sweden\u2019s Skanska jumped 6.7 per cent after Jefferies upgraded its rating on the builder to \u201cbuy\u201d from \u201chold\u201d while downgrading French cable maker Nexans to \u201chold\u201d from \u201cbuy\u201d, sending its shares down 4.9 per cent. REUTERS<\/p>\n","protected":false},"excerpt":{"rendered":"[BENGALURU] European stocks slipped on Tuesday (Oct 7), dragged down by healthcare and bank shares, while a luxury-led…\n","protected":false},"author":2,"featured_media":107453,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[175],"tags":[79,18,19,17,188],"class_list":{"0":"post-107452","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-business","9":"tag-eire","10":"tag-ie","11":"tag-ireland","12":"tag-markets"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/107452","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=107452"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/107452\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/107453"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=107452"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=107452"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=107452"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}