- Brian Turner
- 08 Dec, 2023
- New York City
Nonfarm payrolls increased 199,000 in November, following the 150,000 job gains in October, the U.S. Bureau of Labor Statistics reported Friday.
September job gains were downwardly revised by 35,000 to 262,000, and October job gains were unrevised.
Average hourly earnings, an indicator of wage inflation, rose 12 cents, or 0.4%, in the month and advanced 4% over the last 12 months.
The unemployment rate declined to 3.7%, and the number of unemployed people changed little to 6.3 million.
In November, the number of long-term unemployed, those jobless for 27 weeks or more, edged down to 1.2 million, accounting for 18.3% of all unemployed persons.
- Scott Peters
- 08 Dec, 2023
- New York City
Broadcom decreased 0.3% to $922.0 after the chipmaker reported better-than-expected quarterly results.
Revenue in the fiscal fourth quarter increased to $9.3 billion from $8.93 billion, net income advanced to $3.5 billion from $3.3 billion, and diluted earnings per share rose to $8.25 from $7.83 a year ago.
Semiconductor solution revenue increased 3% to $7.33 billion, and infrastructure revenue rose 7% to $1.97 billion.
The advanced chipmaker guided current fiscal year revenue of $50 billion.
Luluemlon Athletica decreased 2% to $454.67 after the specialty apparel retailer reported quarterly results and issued a weaker-than-expected holiday sales outlook.
Total revenue in the fiscal third quarter ending in October increased 19% to $2.2 billion, driven by a 12% sales increase in North America and a 49% surge in international markets.
Comparable sales increased by 9%, including comparable store sales of 9%, and direct-to-consumer sales soared by 18% from a year ago.
Net income in the quarter decreased to $248.7 million from $255.5 million, and diluted earnings per share fell to $1.97 from $2.0 a year ago.
During the third quarter, the athletic apparel retailer purchased 0.6 million shares of its own common stock at an average price of $380.88 per share for a cost of $210.8 million.
As of the end of the fiscal third quarter on October 29, the company had $243.2 million available for stock repurchase, and the board of directors approved an additional stock repurchase plan of up to $1.0 billion.
The company offered a cautious sales growth outlook for the upcoming holiday season.
For the fiscal fourth quarter, the retailer expects net revenue to be in the range of $3.135 billion to $3.170 billion, representing growth of 13% to 14%.
Diluted earnings per share are expected to be in the range of $4.85 to $4.93 for the quarter, assuming a tax rate of approximately 30%.
RH dropped 8.5% to $257.51 after the furniture retailer reported weaker-than-expected revenue and posted an unexpected loss in its latest quarter.
Net revenue in the third quarter declined to $751.2 million from $869.0 million, and the company swung to a net loss of $2 million from a profit of $98.7 million.
Diluted earnings per share were a loss of 12 cents compared to a profit of $4.17 a year ago.
The company attributed the decline in sales to the "frozen housing market" because of elevated home prices and rising mortgage rates combined with higher promotional activities in the furniture industry.
The company narrowed its revenue guidance range for the year to $3.06 billion to $3.08 billion and now expects its adjusted operating margin to be in the range of 13.6% to 14.0%.
Docusign declined 0.9% to $47.0 after the online service provider reported higher-than-expected quarterly earnings but offered a muted outlook.
Total revenue in the fiscal third quarter increased 9% to $700.4 million from $645.6million, and the company swung to a net income of $38.8 million from a loss of $29.9 million, and diluted earnings per share were 19 cents compared to a loss of 15 cents a year ago.
The company guided fiscal fourth quarter revenue to fall between $696 million and $700 million, subscription revenue between $679 million and $688 million, and billings between $858 million and $768 million.
Cooper Companies fell 1.4% to $340.0 despite the eyecare company reporting organic revenue growth and higher earnings in its latest quarter.
Revenue in the fiscal fourth quarter increased 9% to $927.1 million from $848.1 million, net income advanced to $84.5 million from $65.6 million, and diluted earnings per share rose to $1.70 from $1.32 a year ago.
The company announced a four-to-one stock split effective February 16, and the board of directors terminated the semi-annual dividend.
The maker of contact lenses and fertility solutions forecasted fiscal 2024 sales to range between $3.809 billion and $3.877 billion, an increase between 6% and 8%, and non-GAAP diluted earnings per share between $13.60 and $14.0.
Vali Resorts declined 0.8% to $215.25 after the ski resort operator reported weaker-than-expected quarterly sales and earnings.
Revenue in the fiscal first quarter decreased to $258.5 million from $279.4 million, net loss expanded to $175.5 million from $136.9 million, and diluted loss per share rose to $4.60 from $3.40 a year ago.
The ski resort operator increased quarterly cash dividend per share to $2.06 from $1.91 a year ago and payable on January 9 to shareholders on record on December 26.
The company reiterated its fiscal year 2024 earnings in the range between $316 million and $394 million.
- Barry Adams
- 08 Dec, 2023
- New York City
Stocks turned lower, and Treasury yields perked up after the release of the nonfarm employment report.
Market indexes declined after job gains accelerated in November, the unemployment rate slightly declined, and wage increases were in line with expectations.
Market indexes have been rallying for weeks after the Federal Reserve held rates two times in a row, and subsequent inflation reports have confirmed a cooling trend.
Investors have remained focused on labor markets, and a series of reports covering job openings, weekly jobless claims, and private sector employment have confirmed a cooling but resilient market.
For the week, the Nasdaq is likely to close higher and extend weekly gains for the sixth consecutive week, and the S&P is likely to close down after rallying for five weeks in a row.
Nonfarm Payroll Increase Accelerated in November
Nonfarm payrolls increased 199,000 in November, following the 150,000 job gains in October, the U.S. Bureau of Labor Statistics reported Friday.
September job gains were downwardly revised by 35,000 to 262,000, and October job gains were unrevised.
Average hourly earnings, an indicator of wage inflation, rose 12 cents, or 0.4%, in the month and advanced 4% over the last 12 months.
The unemployment rate declined to 3.7%, and the number of unemployed people changed little to 6.3 million.
In November, the number of long-term unemployed, those jobless for 27 weeks or more, edged down to 1.2 million, accounting for 18.3% of all unemployed persons.
Carrier Global and Honeywell in a $5 billion deal
Carrier Global jumped 5.9% to $56.10 after the company agreed to sell its Global Access Solution unit for $4.95 billion in cash to Honeywell.
The purchase price is 13 times operating earnings, including tax benefits and run-rate cost synergies.
"Honeywell's strong track record delivering building automation products and services makes this a natural fit that will create a leading security platform with forecasted annual revenue in excess of $1 billion," said Vimal Kapur, Chief Executive Officer, Honeywell.
U.S. Indexes and Yields
The S&P 500 index gained 0.7% to 4,581.86, and the Nasdaq Composite increased 1.3% to 14,322.25.
The yield on 2-year Treasury notes increased to 4.70%, 10-year Treasury notes inched higher to 4.23%, and 30-year Treasury bonds increased to 4.32%.
Crude oil decreased $1.50 to $70.84 a barrel, and natural gas prices rose 1 cent to $2.59 a thermal unit.
Gold increased $0.4 to $2,028.34 an ounce on shifting investors' expectations that the Federal Reserve is more likely to cut rates sooner than expected in 2024.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 103.77.
U.S. Stock Movers
Broadcom decreased 0.3% to $922.0 after the chipmaker reported better-than-expected quarterly results.
Revenue in the fiscal fourth quarter increased to $9.3 billion from $8.93 billion, net income advanced to $3.5 billion from $3.3 billion, and diluted earnings per share rose to $8.25 from $7.83 a year ago.
Semiconductor solution revenue increased 3% to $7.33 billion, and infrastructure revenue rose 7% to $1.97 billion.
The advanced chipmaker guided current fiscal year revenue of $50 billion.
Lulu Lemon Athletica decreased 2% to $454.67 after the specialty apparel retailer reported quarterly results and issued a weaker-than-expected holiday sales outlook.
RH dropped 8.5% to $257.51 after the furniture retailer reported weaker-than-expected revenue and posted an unexpected loss in its latest quarter.
Docusign declined 0.9% to $47.0 after the online service provider reported higher-than-expected quarterly earnings but offered a muted outlook.
Cooper Companies fell 1.4% to $340.0 despite the eyecare company reporting organic revenue growth and higher earnings in its latest quarter.
Vali Resorts declined 0.8% to $215.25 after the ski resort operator reported weaker-than-expected quarterly sales and earnings.
- Inga Muller
- 08 Dec, 2023
- Frankfurt
European markets advanced on the final day of the week and extended weekly gains for the sixth week in a row.
The DAX index increased 0.4% to 16,695.43, the CAC-40 index rose 1.0% to 7,498.74, and the FTSE 100 index fell 0.6% to 7,556.17.
For the week, the DAX index advanced 1.6%, the CAC-40 index gained 2.2%, and the FTSE 100 index gained 0.2%.
The yield on 10-year German bonds increased to 2.23%; French bonds traded higher to 2.77%; the UK gilts rose to 4.02%; and Italian bonds inched higher to 4.0%.
Natural resource stocks were in focus after energy prices rebounded by about 1.5% following calls from Saudi Arabia and Russia to cut oil production.
BP Plc rose 1.4% to 466.80 pence, Shell PLC added 1% to €29.65, Repsol added 0.5% to €13.88, and TotalEnergies gained 1% to €61.31.
Anglo American dropped 7.2% to 2,065.50 pence after the company announced a plan to lower its production in a bid to cut costs.
The company said it has reduced its operating costs by $0.5 billion in 2023 and identified an additional $0.5 billion in cost savings in 2024.
Moreover, the company plans to reduce its capex by $0.2 billion to $5.8 billion.
The diversified mining company said it will reduce its production at its iron ore mine in Kumba, South Africa, focus on higher margin production of platinum group metals, and continue production at only one plant at the Los Bronces copper operation in Chile.
The mining company forecasted 2023 production to increase by 0.3%: Quellaveco copper production ramp-up and solid iron ore production, offset by ore grades in Chile and lower platinum group metals and diamonds production.
Monk Investment Trust PLC gained 0.8% to 1,014.39 pence after the company reported a narrower loss in the first half of the fiscal year.
Berkeley Group Holdings decreased 1.8% to 4,848.0 pence after the home builder cautioned about challenging market conditions.
Vivendi Group advanced 2.4% to €8.88 after the media group was set to be included in the CAC 40 index on December 18, replacing Worldline.
Worldline added 0.7% to €15.87.
- Bridgette Randall
- 08 Dec, 2023
- Frankfurt
European markets traded higher on the final day of the week, and bond yields rebounded from seven-month lows.
Benchmark indexes in Frankfurt and Paris gained, but in London they edged lower after Germany confirmed the decline in inflation in November.
Market indexes in Europe are set to close higher for the fourth week in a row.
Investors have been bidding up stocks in the hopes that interest rates are near peak rates and the European Central Bank may lead other central banks of the advanced nations in cutting rates as early as the first quarter of 2024.
Germany's inflation eased in November.
German consumer price inflation was confirmed at 3.2%, the Federal Statistics Office, or Destatis, reported Friday.
Overall annual inflation eased to 3.2% from 3.8% in October and declined for the fifth month in a row.
Consumer price inflation declined by 0.4% on a monthly basis after staying stable in October.
The sharp decline in overall inflation was driven by a slowdown in food inflation to 5.5% from 6.1% and an additional decline in energy prices to 4.2% from 3.5% in the previous month, respectively.
Core inflation, which excludes volatile food and energy prices, slowed to 3.2% from 3.8% in the previous month.
Europe Indexes and Yields
The DAX index increased 0.4% to 16,695.43, the CAC-40 index rose 1.0% to 7,498.74, and the FTSE 100 index fell 0.6% to 7,556.17.
For the week, the DAX index advanced 1.6%, the CAC-40 index gained 2.2%, and the FTSE 100 index gained 0.2%.
The yield on 10-year German bonds increased to 2.23%; French bonds traded higher to 2.77%; the UK gilts rose to 4.02%; and Italian bonds inched higher to 4.0%.
The euro traded lower to $1.078, the British pound inched lower to $1.257, and the U.S. dollar eased to 87.52 Swiss cents.
Brent crude increased $1.06 to $75.12 a barrel, and the Dutch TTF natural gas increased by €1.38 to €40.35 per MWh.
Europe Stock Movers
Natural resource stocks were in focus after energy prices rebounded by about 1.5% following calls from Saudi Arabia and Russia to cut oil production.
BP Plc rose 1.4% to 466.80 pence, Shell PLC added 1% to €29.65, Repsol added 0.5% to €13.88, and TotalEnergies gained 1% to €61.31.
Anglo American dropped 7.2% to 2,065.50 pence after the company announced a plan to lower its production in a bid to cut costs.
The company said it has reduced its operating costs by $0.5 billion in 2023 and identified additional $0.5 billion in cost savings in 2024.
Moreover, the company plans to reduce its capex by $0.2 billion to $5.8 billion.
The diversified mining company said it will reduce its production at its iron ore mine in Kumba, South Africa, focus on higher margin production of platinum group metals, and continue production at only one plant at the Los Bronces copper operation in Chile.
Monk Investment Trust PLC gained 0.8% to 1,014.39 pence after the company reported a narrower loss in the first half of the fiscal year.
Berkeley Group Holdings decreased 1.8% to 4,848.0 pence after the home builder cautioned about challenging market conditions.
Vivendi Group advanced 2.4% to €8.88 after the media group was set to be included in the CAC 40 index on December 18, replacing Worldline.
Worldline added 0.7% to €15.87.
- Arun Goswami
- 08 Dec, 2023
- Mumbai
Two popular benchmark indexes are set to close higher for the sixth week in a row, with a weekly gain of about 1.9%.
In a widely anticipated decision, the Reserve Bank of India held its key lending rates, lifted its view on economic growth, but left its inflation forecast intact for the fiscal year 2024, citing multiple food price shocks.
The Sensex index increased 164.08 points to 69,685.77, and the Nifty index rose 55.60 points to 20,956.75.
On the Mumbai stock exchange, 200 stocks traded at their 52-week highs and 12 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.24%, and the Indian rupee hovered near ₹83.34 against the U.S. dollar.
Container Corporation of India added 0.5% to ₹846.75 after the company signed an agreement with NTPC Vidyut Vyapar Nigam for setting up solar power projects at CONCOR terminals.
NTPC jumped 1.9% to ₹289.25.
REC jumped 2.2% to ₹403.50 on reports that the company is looking to raise as much as ₹6,000 crore through two bond offerings.
Zomato Ltd. gained 1.4% to ₹122.15 on a report that Japan-based Softbank is looking to sell a 1.1% stake in the delivery service company.
Olectra Greentech advanced 2.2% to ₹1,255.10 after the company signed a contract to deliver 40 electric buses.
Spicejet declined 1.3% to ₹51.68 on a report that the company is looking to raise additional capital, including a stock offering.
Sugar stocks declined after the government barred companies from making ethanol using sugarcane juice but permitted the use of molasses.
The sugarcane crop is down this year after uneven monsoon rains, and the government issued the directive as sugar supply is barely expected to meet the annual demand of 28 million tons.
About 25% of sugarcane juice production is used to make ethanol, and sugar production in the first two months of this crop cycle ending in November declined by 10.5%.
Shree Renuka fell 5.7% to ₹45.15, Bajaj Hindusthan declined 6.8% to ₹27.15, Balarampur Chini Mills dropped 2.7% to ₹397.80, and Dalmia Bharat Sugar and Industries decreased 1.2% to ₹403.65.
Power sector stocks surged after the rate decision by the Reserve Bank of India.
IREDA soared 12% to ₹72.10, REC added 2.2% to ₹405.0, Power Finance Corporation advanced 1.8% to ₹383.90, Power Grid jumped 0.3% to ₹230.85, but Torrent Power declined 3.3% to ₹968.70.
IRB Infrastructure Developers jumped 3.6% to ₹39.85 after the company said toll revenue soared 20% from a year ago to ₹437 crore in November.
- Arjun Pandit
- 08 Dec, 2023
- Mumbai
Stocks in Mumbai traded higher after the central bank left its key lending rate unchanged and revised its economic growth forecast.
Two popular benchmark indexes added more than 0.3%, and the Reserve Bank of India is widely expected to hold rates steady for the third time in a row.
The Reserve Bank of India left its repo rate, the reference rate used for loan products, at 6.5%.
The central bank also revised its economic growth estimate for the fiscal year to 7.0% from the previous estimate of 6.5%, citing strong domestic economic fundamentals but cautioning against elevated inflation.
The Reserve Bank of India held its consumer price inflation forecast at 5.4% but cautioned that core inflation is still high and inflationary forces are still stronger than preferred by the central bank.
Crude oil edged slightly higher, but the commodity is set to close down 5% in the week on rising global supplies.
In overnight trading, U.S. market indexes advanced after tech stocks rebounded following Google's release of its most advanced generative artificial intelligence product, Gemini.
The yield on U.S. 10-year Treasury notes dropped below 4.20% and eased to a low last seen in September.
Closer to home, the yield on a 5-year Indian government bond held firm at 7.24% ahead of the RBI's rate decision.
In other news in Asia, Japan's economy contracted at a 2.9% annual pace in the third quarter compared to the preliminary estimate of 2.1%, following the downwardly revised growth of 3.6% in the second quarter, the Cabinet Office reported Friday.
The annual pace of decline was the first in a year and the largest fall since the peak of the pandemic in the second quarter of 2020.
India Indexes and Yields
Two popular benchmark indexes are set to close higher for the sixth week in a row with a weekly gain of about 1.9%.
The Sensex index increased 164.08 points to 69,685.77, and the Nifty index rose 55.60 points to 20,956.75.
On the Mumbai stock exchange, 200 stocks traded at their 52-week highs and 12 stocks traded at their 52-week lows.
The yield on the 10-year Indian government bonds held firm at 7.24%, and the Indian rupee hovered near ₹83.34 against the U.S. dollar.
The gold price increased by 0.06% to ₹62,506 per ten grams, and silver rose by 0.4% to ₹74,600 per kilo.
Crude oil increased by 1.4% to ₹5,885 per barrel, and natural gas fell by 0.7% to ₹216.30 per thermal unit.
India Stock Movers
Container Corporation of India added 0.5% to ₹846.75 after the company signed an agreement with NTPC Vidyut Vyapar Nigam for setting up solar power projects at CONCOR terminals.
NTPC jumped 1.9% to ₹289.25.
REC jumped 2.2% to ₹403.50 on reports that the company is looking to raise as much as ₹6,000 crore through two bond offerings.
Zomato Ltd. gained 1.4% to ₹122.15 on a report that Japan-based Softbank is looking to sell a 1.1% stake in the delivery service company.
Olectra Greentech advanced 2.2% to ₹1,255.10 after the company signed a contract to deliver 40 electric buses.
Spicejet declined 1.3% to ₹51.68 on a report that the company is looking to raise additional capital, including a stock offering.
Sugar stocks declined after the government barred companies from making ethanol using sugarcane juice but permitted the use of molasses.
The sugarcane crop is down this year after uneven monsoon rains, and the government issued the directive as sugar supply is barely expected to meet the annual demand of 28 million tons.
About 25% of sugarcane juice production is used to make ethanol, and sugar production in the first two months of this crop cycle ending in November declined by 10.5%.
- Barry Adams
- 07 Dec, 2023
- New York City
U.S. benchmark indexes snapped a three-day losing streak after high-growth stocks rebounded.
The S&P 500 index and the Nasdaq Composite advanced and tech stocks led the gainers after Google parent Alphabet released its product using generative artificial intelligence.
Market advance resumed after three days of decline as buyers returned to snap up high-growth and interest rate-sensitive stocks.
Market indexes have rallied in the past five weeks in a row after the Federal Reserve held interest rates and three inflation indicators suggested cooling trends.
The number of initial jobless claims rose by 1,000 to 220,000 in the week ending December 2, the U.S. Department of Labor reported Thursday.
Continuing claims decreased by 64,000 to 1.861 million in the previous week, indicating improving conditions for the unemployed looking for jobs.
Moreover, the latest job openings report also showed employers are trimming new job announcements, and private employers added fewer than expected new jobs in November, suggesting that the labor market is cooling.
Investors are looking ahead to the release of the November nonfarm employment report on Friday, and economists surveyed by Ticker.com are estimating that the economy added about 175,000 net new jobs.
Treasury yields continued to decline and eased to the levels last seen in early September, and the yield on 10-year Treasury notes dropped below 4.20%.
U.S. Indexes and Yields
The S&P 500 index gained 0.7% to 4,581.86, and the Nasdaq Composite increased 1.3% to 14,322.25.
The yield on 2-year Treasury notes increased to 4.63%, 10-year Treasury notes inched higher to 4.15%, and 30-year Treasury bonds increased to 4.26%.
Crude oil decreased $0.08 to $69.29 a barrel, and natural gas prices rose 0.1 cents to $2.57 a thermal unit.
Gold increased $3.43 to $2,021.42 an ounce on shifting investors' expectations that the Federal Reserve is more likely to cut rates sooner than expected in 2024.
The dollar index, which weighs the U.S. dollar against a basket of foreign currencies, edged lower to 103.98.
U.S. Stock Movers
Alphabet soared 6.4% to $138.42 after the parent company of Google released its latest artificial intelligence model, Gemini, in a bid to compete with other generative AI products released by Microsoft, OpenAI, and Meta.
Chewy declined 10.8% to $17.25 after the online pet food and products store reported weaker-than-expected revenue and the company swung to a loss in the quarter.
ChargePoint Holdings fell 3.9% to $1.97 after the electric vehicle infrastructure company reported weaker-than-expected revenue of $110 million in the third quarter.
Dollar General Corp. increased 2.8% to $137.70 after the deep discount retailer reported better-than-expected quarterly results and reaffirmed its fiscal year outlook for earnings and comparable sales.
GameStop Corp. decreased 8.8% to $13.54 after the specialty retailer reported a slight decline in quarterly sales from a year ago.
European Markets Rested, Bond Yields, Bond Yields Eased to 7-month Lows
European markets took a breather after surging in the previous two sessions, and bond yields headed lower.
The DAX index edged down after closing at a record high in the previous session, and the CAC-40 index and the FTSE 100 index declined.
Bond yields dropped to the level last seen in early May as traders supported the view that the European Central Bank is likely to lead other major banks in cutting interest rates in 2024 as early as the first quarter.
German Industrial Output Fell Fifth Consecutive Month
Investors were on the backfoot after Germany's industrial output unexpectedly declined 3.5% from a year ago and 0.4% from the previous month in October.
Industrial output fell for the fifth month in a row, both on an annual and monthly basis, indicating growing economic uncertainties and the negative impact of higher interest rates.
The increase in automobile production failed to offset the weakness in mechanical engineering, the Federal Statistics Office, or Destatis, reported Thursday.
Italy's Industrial Production Remains Under Pressure
Italy's industrial production decreased 0.2% from the previous month and fell 1.1% from the previous year in October, the National Institute of Statistics of ISTAT reported Thursday.
With the lagged effect of the multiple interest rate hikes, industrial activities remained under pressure for the fourth month in a row.
The increase in consumer goods and energy goods production was offset by the decline in capital goods and intermediate goods output.
UK House Price Decline Slowed In November.
The Halifax House Price Index decreased 1.0% from a year ago in November, following a revised 3.1% decline in October, Halifax and the Bank of Scotland reported Thursday.
Home prices rose 0.5% from the previous month, marking the second monthly price increase following the shortage of available homes.
Home prices are expected to decline in the months ahead because of economic uncertainties, elevated interest rates, a lack of affordability, and a higher cost of living.
Home prices in London were not immune from price declines and fell 3.8% from a year ago, after buyers stayed away because of a lack of affordability.
Home prices declined 5.7% in the South East and fell 1.5% in Wales, but prices in Northern Ireland rose 2.3% and were unchanged in Scotland.
Europe Indexes and Yields
The DAX index decreased 0.2% to 16,628.99, the CAC-40 index fell 0.1% to 7,428.52, and the FTSE 100 index fell 0.02% to 7,513.72.
The yield on 10-year German bonds decreased to 2.20%; French bonds traded lower to 2.74%; the UK gilts declined to 3.98%; and Italian bonds inched lower to 3.95%.
The euro traded lower to $1.077, the British pound inched lower to $1.257, and the U.S. dollar eased to 87.42 Swiss cents.
Brent crude increased $0.06 to $74.05 a barrel, and the Dutch TTF natural gas increased by €0.90 to €40.21 per MWh.
Europe Stock Movers
Games Workshop Group dropped 8% to 9,750.0 pence after the company reported weaker-than-expected interim results.
Airlines in Europe were under pressure after JP Morgan lowered its view on the sector, citing rising capacity. The investment bank said discount carriers are likely to do better than large-network airlines in 2024, citing profitability worries for the international carriers.
Lufthansa declined 4.5% to €8.20 after JP Morgan lowered its view on the German airline to "underweight" from "overweight" and lowered its target price to €7.0.
Air France KLM dropped 5.7% to €11.94 after JP Morgan lowered its view on the international carrier to "underweight" from "overweight."
International Consolidated Airlines Group, parent of British Airways and Iberian Air, fell 3.5% to 156.15 pence after JP Morgan lowered its view to "neutral" from "underweight."
Sanofi SA advanced 0.3% to €87.05 after the French drug maker said it has a dozen drug candidates in the development stage with an annual sales potential of more than €1 billion.