European shares fell today, led by cyclical stocks on growth concerns fuelled by weak export data from Japan, but underpinned by expectations of more stimulus measures by central banks.
Miners, down 1.7 percent, suffered the most as poor results from global player BHP Billiton hurt sentiment. BHP fell 1.7 percent after shelving a $20 billion copper expansion project as it posted a 35 percent fall in second-half profit on weaker commodity prices and industrial action.
Other cyclical sectors, which generally suffer during difficult economic conditions, fell sharply, with autos down 1 percent, the construction and materials sector dropping 1.2 percent and banks down 0.6 percent.
The FTSEurofirst 300 index was down 0.8 percent at 1,101.18 points, after rising 0.4 percent in the previous session in volume at just two-thirds of the 90-day daily average. The volatility index surged nearly 8 percent to a two-week high, indicating a drop in risk appetite.
In Asia, Nikkei share average fell after a recent rally, pulled down by investors’ growing impatience with the European Central Bank to act soon to stem the euro zone’s debt crisis. Weak Japanese export data added to the pessimism.
The Nikkei dropped 0.3 percent to 9,131.74, taking the benchmark to below its five-day moving average at 9,143.02 and its 26-week moving average at 9,148.53. The broader Topix index eased 0.3 percent to 762.73.
Source: Buenos Aires Herald