Monday's trading in the rest of Europe seemed to follow the UK as US markets were closed for the Presidents Day holiday. The day's trading seemed to lack focus and was in and out of the red. By close of play the CAC 40 was down over 0.5% and the DAX very slightly lower.
Tuesday opened slowly with nothing to go at after the US markets had been closed yesterday. By the afternoon losses were seen in telecommunications and banking stocks, not helped by a weak opening from the US. Car manufacturers were also lower with investors poised to hear the earnings news from companies such as Volkswagen.
Wednesday saw European markets lower, helped along by uncertainty in the US and a less than positive close for the UK. Again it was the poor earnings news and accounting practice worries helping the market downward, again for telecommunication and banking stocks. Insurance company stocks also took a hit. The CAC 40 in Paris closed down by almost 0.5%, with the DAX falling slightly.
Surprisingly it was the telecommunications sector that kept markets in the black on Thursday. Generally, European markets ended with gains although they were weighed down by uncertainties in the US. The CAC 40 managed to gain over 1%, with the DAX just falling short of the 1% mark.
Friday's trading was once again affected by the US and bad news from the telecommunication and technology sectors did not lift investor spirits. Investors started to take the profits from yesterday, leaving European blue chip indices lower. The DAX was down by almost 2% and the CAC 40 down by just over 1%. French economic data was released, showing the economy had actually fallen back slightly in the last quarter. The news dashed hopes of a European recovery. Germany's figures are out next week but analysts don't expect better news.