European markets fell back yesterday in late trading on weak technology stocks and renewed slippage by the euro, but ended the week just about all square.
Frankfurt lost ground due to a late shakeout for tech leaders and broad weakness among financials. Among the financials, Deutsche Bank shed €2.24 at €96.40 and Dresdner Bank €1.11 at €48.79. In the technology sector, Deutsche Telekom came off €1.76 at €38.40 and Infineon €3.13 at €53.29. SAP lost €12.50 at €245.50.
The Neuer Markt tumbled more than 4 per cent, with T-Online falling to a fresh low for the year at €22, down €2.37 or 9.7 per cent. Schering lost €2.75 at €68.55 for a two-day decline of 9 per cent as the takeover rumours that boosted the stock earlier this month lost their powers of persuasion.
Paris went into reverse in the afternoon and closed sharply lower as the US jobs data hinted at increasing inflation pressures. The most vulnerable shares were technology-dependent ones which are sensitive to interest rate prospects. France Telecom weighed heavily on the index, falling 4.2 per cent to €115, while mobile phones and construction group Bouygues lost 7.1 per cent to €51.05.
Chip-maker STMicroelectronics fell 5.9 per cent to €52.65 and computer services company Cap Gemini fell 5.2 per cent to €208.10. Internet service provider Wanadoo, which has been highly volatile over the last three days ahead of results, tumbled 7.8 per cent to €14.75 after posting earnings at the lower end of expectations.
On the Nouveau Marche, web consultant Valtech fell 14.6 per cent to €13.70 in the wake of an earnings warning from US Internet services company Razorfish.
The CAC index fell 1.2 per cent to 6,258.41, with 26 losers and 13 gainers. Volume was 45.6 million shares.
Amsterdam saw technology leaders under pressure again and the AEX index finished 6.71 lower at 665.09. Profit-taking sent ASM Lithography down €2.84 at €35.60 in 12.8 million shares traded. Philips came off €2.58, or 5.5 per cent, at €44.47.
Royal Dutch rallied €1.15 to €70.95 as crude oil prices ticked higher. Unilever rose €1.60 to €57.30, helped by a solid overnight showing by the household goods sector in the US.
