By close of play on Monday, the German Xetra DAX had fallen over 4.5% with no stocks escaping selling by investors. The CAC 40 in Paris also managed a record loss of just over 4.5%. Banking and oil stocks were the main culprits of the day but pharmaceuticals and telecommunications added a helping hand. With the US Dollar moving lower against other currencies, the Euro managed to move ahead for the first time since 2000. This, in turn, hit exporters and reductions in their stock prices could be seen.
Tuesday saw a comeback for European markets in trade that was massively volatile. News from the Federal Reserve in the US that the economy was growing boosted investors. By close of play the CAC 40 in Paris was down slightly but the Xetra DAX managed a small gain. Telecommunication and some financial stocks took a turn for the better today and led most of the gains.
After a day heavily in the red on Monday and a comeback yesterday, European markets were primed for gains on Wednesday. By close of play the Xetra DAX had risen over 1.5% and the CAC 40 over 3.7%. Gains today were boosted by the US opening strongly, giving yet more confidence to investors. Gains were thanks to telecommunications, oil and financial stocks. Investors seemed to be looking forward, rather than staying with worse than expected earnings news from across the US.
Thursday saw another day of gains in Europe, although off the highs of the day, thanks to Nokia's downbeat news. The markets were mixed with the Xetra DAX in Germany falling slightly and the CAC 40 in Paris adding gains of over 2%. A spate of positive profit news was released today from a range of sectors, obviously giving confidence to investors.
Friday was a dismal day in the markets as sellers were rife across the broad spectrum of stocks, due to poor earnings news and downbeat forecasts. Falls in the US did nothing to help matters in the Europe and technology, pharmaceutical, oil, telecommunication and banking stocks were hit worst. The German Xetra DAX and French CAC 40 each fell over 5% at the close. European exporters were not helped with the Euro strengthening further against the Dollar.