On Friday, July 8, European stocks crashed amid a global sell-off as investors worried about the region’s economic recovery.
The STOXX Europe 600 closed 1.72% lower with a net change of $7.92. This sent the stocks to the bottom at $451.61 per share.
Retailers, which dropped 3.2%, led to the loss. Also, all sectors and major bourses slid negatively.
Likewise, the Euro STOXX 50 plummeted 2.13% or 86.87 points to $3,991.66 per share.
The STOXX Europe 50 joined the plunge as it subsided 1.56% with a net decline of $133.21.
This sent the stocks below the level of $8,414.87 per share.
Furthermore, the European Central Bank released the 18-month review results to raise its inflation goal to 2%.
Moreover, the central bank stated that it would allow consumer prices to exceed when deemed necessary.
In addition, the Global Dow Realtime EUR, FTSE 100 Index, and FTSE All Share Index all tumbled 0.11% to $3.129.22, 1.68% to $7,031, and 1.61% to $4,020, respectively.
The European Union’s stock downturn reflected negative sentiment in both Asia and the United States.
Most Asia Pacific shares went down as Chinese tech stocks in Hong Kong face huge pressure following the resurfaced regulatory concerns.
Also, Japan’s rising COVID-19 infections made its government declare another state of emergency in Tokyo, less than three weeks ahead of the Olympics.
Meanwhile, all major U.S. stock indexes fell on Wall Street amid worries regarding the global economic recovery brought by the coronavirus pandemic.
Additionally, the latest U.S. Labor Department jobless data showed an unexpected increase of 373,000, which is higher than Dow Jones’ projection of 350,000.
Germany Stocks Declined
Germany, the European Union’s largest economy, declined as the Retail, Technology, and Insurance sectors led to losses.
At the close of the Frankfurt Stock Exchange, the DAX hit a new 1-month low where it dropped 1.73% with a net change of $272.07 at $15,421 per share.
The Deutsche Bank, Heidelbergcement, and Volkswagen pulled the benchmark down by 3.05% at $12.06, 3.03% at $86.51, and 2.89% or $237.28.
Likewise, the MDAX Performance Index decreased by 1.28% or 446.83 points. This sent the stocks to the bottom at $34,352 per share.
Its worst performers were TeamViewer, HelloFresh, and Aixtron. They all went down 14.27% or 27.69 points, 4.27% or 83.82 points, and 4.12% or 20.945 points, respectively.
Consequently, the TecDAX lost 1.55% or 56.37 points at $3,587.43 per share.
The SMA Solar Technology is the index’s biggest loser, losing 4.27% at $56.21 per share.