Apple suppliers weigh on European shares as equity rally falters By Reuters
LONDON (Reuters) – European shares faltered on Wednesday as a global equity rally showed signs of flagging, with Apple suppliers struggling after the new iPhone release disappointed with a later than expected shipping date.
The pan-European STOXX 600 () dipped 0.3 percent as weakness in chipmakers was compounded by a drop in miners (). [MET/L]
Euro zone stocks and blue-chips () held steady, while Germany’s DAX (), which touched its highest in nearly two months on Tuesday, fell back 0.1 percent.
Chipmakers supplying to Apple (O:) were among the worst performers, with AMS (S:) down 3.2 percent, while Dialog Semiconductor (DE:) slipped 1.7 percent and STMicro (MI:) fell 1.1 percent.
Traders said their shares were under pressure due to Apple’s new $999 iPhone X shipping later than expected, on November 3.
Chipmakers have been the best-performing among Europe’s tech stocks this year, accounting for a large chunk of the sector’s outperformance. AMS shares have gained 165 percent year-to-date.
The merging eyewear and lens makers Luxottica (MI:) and Essilor (PA:) were also among the biggest fallers, down 1.9 to 2.1 percent. EU antitrust regulators were set to tell the firms of concerns they have over the merger this week.
Covestro (DE:) was among a handful of risers, up 1.5 percent after German drugs and pesticides group Bayer (DE:) sold a 9.4 percent stake in the firm.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.