Bloomberg News

European Stock-Index Futures Drop on U.S. Growth Outlook

June 21, 2012

European stock futures fell as the Federal Reserve cut its growth forecast for the U.S. economy and a survey showed China’s manufacturing may shrink for an eighth month. U.S. index futures and Asian shares dropped.

Mining companies may decline with commodity prices. Sanofi (SAN) SA may be active after it failed to win a U.S. Food and Drug Administration advisory panel’s backing for a blood-clot treatment. Royal Dutch Shell Plc (RDSA) may slip after Goldman Sachs Group Inc. cut its recommendation for the company’s shares. TNT Express NV (TNTE) might move as United Parcel Service Inc. offered 9.50 euros a share to buy the Dutch express-delivery company.

Futures on the Euro Stoxx 50 Index expiring in September dropped 0.4 percent to 2,191 at 7:06 a.m. in London, while FTSE 100 Index futures lost 0.4 percent. The Stoxx Europe 600 Index has declined 8.3 percent from its high on March 16 on concern that Greece will have to leave the euro currency union. Standard & Poor’s 500 Index futures slid 0.4 percent, while the MSCI Asia Pacific Index decreased 0.6 percent.

“European markets are set to open on the back foot as they have their first chance to react to the Fed announcement and another soft flash Chinese manufacturing PMI print,” said Cameron Peacock, a market analyst at IG Markets in Melbourne.

To contact the reporter on this story: Corinne Gretler in Zurich at cgretler1@bloomberg.net

To contact the editor responsible for this story: Andrew Rummer at arummer@bloomberg.net


American Apparel's Future
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

 
blog comments powered by Disqus