European stocks sag amid euro leap
Driven by the euro surge and gloomy report from Credit Suisse AG, most European stocks dropped on Thursday, thus affecting German shares.
The Stoxx Europe 600 decreased 0.9% at 327.05, the lowest value since January. The index rose by 1.1%, backed up by leaps in commodity shares, as the greenback dropped against the euro, yen and other currencies.
The dropping dollar affected resource shares. Meanwhile, a surge in the major European currency above $1.12 weighed on stocks of exporters. That especially applies to those dealing with the export-oriented German economy. In Frankfurt, the DAX 30 sagged 1.3%, the worst value since December, 2014.
Stocks of BMW AG dropped 2.9%. A software maker SAP SE lost about 2%. Then, Daimler AG decreased 4.2%. In France, stocks of car maker Peugeot SA dropped 4.2%, trading somewhere at the bottom of CAC 40. The index dipped to 4,216.29, which is a 0.3% decrease.
The surge of commodity shares appeared to be a real boon for Britain’s FTSE 100, which grew to 5,885.37 or 0.8%.
Stocks continued rising after Mark Carney, the Bank of England Governor said at his press-conference that the upcoming move for Britain’s interest rates would probably be up, and not down. The British pound traded above $1.46 against the greenback.