Mining stocks and technology stocks were the worst hit, while utilities subindices and healthcare subindices recovered some ground. Tech stocks were not immune to the trend, and they took some strain. Experts attributed this to China’s intention to broaden its ban on the use of iPhones, as government sectors and affiliates distance themselves from Apple.
Notably, these speculations affected not only Apple’s chip supplier, STMicroelectronics, but rippled out to European microchip producers such as Infineon Technologies and Nordic Semiconductor. As inflation affected demand, this downward trend also affected luxury goods producers, such as Gucci, LVMH and others.
Don’t miss out the latest news, subscribe to LeapRate’s newsletter
After a 2.7% decline in August, European stocks began September in a sour mood. Recent data released in August showed minimal economic growth due to weak export activities. Gross domestic product also only increased by 0.1% during the past three-month period. Germany’s declining industrial output, as reflected in the latest statistics, added to these woes.
However, it seems the situation will soon improve as numbers indicate China’s trade is on the…