European stock rally hurt by healthcare woes
The pan-European Stoxx 600 remained largely steady in trading even as the index saw its recent four-day rally fractured by healthcare stocks, ending the day 0.2 per cent weaker.
The big markets stayed relatively stable as investors assess developments in US trade policy following a period of share rebounds.
DUBLIN
Bucking the European trend, the Iseq All-Share index ended the session up 1 per cent to 11,163.34.
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The index's advance was led by banking stocks, with AIB Group leading the way. It finished 2.3 per cent stronger on €6.64 following the news that the bank had completed a stock buyback from the State.
Elsewhere in the sector, Bank of Ireland jumped 1.69 per cent to €11.76, and Permanent TSB Group saw a 1.43 per cent gain to 1.775.
Ryanair was the most actively traded stock of the day and rose 2.27 per cent to €22.50. The biggest drops of the day were both in property with Cairn Homes down 2.60 per cent and Glenveagh falling 2.12 per cent.
LONDON
Britain's blue-chip FTSE 100 index closed lower on Wednesday, while mid-caps clocked gains as investors assessed a mixed bag of corporate earnings, and the focus shifted to the state of the country's economy.
The FTSE 100 was down 0.2 per cent, while the domestically focused FTSE 250 was up 0.3 per cent. Despite the day's muted performance, Goldman Sachs raised its 12-month forecast for the FTSE 100 to 8,800 from 8,500.
Shares of Imperial Brands fell 7.3 per cent to the bottom of the index after the cigarette maker said chief executive Stefan Bomhard will retire after five years in the role.
Compass Group's stock fell 2.5 per cent after the catering firm released unchanged annual profit and revenue forecasts.
Losses were kept in check as Burberry's stock jumped 17 per cent to lead mid-cap performers after the British luxury brand announced plans to shed 1,700 jobs – about a fifth of its global workforce.
Sticking with fashion, Asos shares gained 3.2 per cent after parcel locker company InPost announced a partnership with the British online fashion retailer to introduce a next-day out-of-home delivery service.
EUROPE
The Stoxx 600 dropped 0.2 per cent, but stayed well above its early April lows in light of Trump's tariff announcement. The announcement of a number of trade deals has led to Goldman Sachs raising its 12-month forecast for the Stoxx 600 to 570 points, from 520.
Healthcare shares were the biggest drag on the market on Wednesday, down 1.5 per cent. Alcon logged its biggest one-day fall since March 2020 after missing expectations for quarterly results and revising its 2025 outlook to reflect the impact of US tariffs.
Most sectors ended the day slightly lower, although banks rallied 1.4 per cent to trade at the highest since August 2010.
Train-maker Alstom was the poorest performer on the Stoxx 600, tumbling over 17 per cent after its forecast for the current year disappointed investors.
Tui, Europe's largest travel operator, was down about 11 per cent after flagging a 1 per cent drop in summer bookings.
NEW YORK
The three big New York indices were on a knife edge in late afternoon trading as investors watched for trade developments during Donald Trump's tour of the Gulf states.
Technology companies helped to keep the S&P 500 in the black, with Nvidia among top gainers alongside Advanced Micro Devices (AMD) after the latter approved a new $6 billion share buyback programme.
Boeing gained after state carrier Qatar Airways signed a deal to purchase jets from the plane maker during Trump's visit to Doha.
But eight of the 11 S&P sectors traded lower, with utilities worst hit.
American Eagle Outfitters was among the few earnings-related movers, falling after the apparel company withdrew its annual forecasts, citing tariff-fuelled economic uncertainty. – Additional reporting, Reuters.
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