Stock exchanges in Europe lost around one percent in Wednesday’s trading. The bad mood was caused by the results of some technology companies, which investors may perceive as confirmation of the coming economic recession.
Wednesday’s trading shock
The pan-European Stoxx 600 stock index ended Wednesday’s trading nearly one percent below Tuesday’s close. Shares on the Frankfurt am Main and Madrid stock exchanges also showed practically the same decline. A slightly smaller fall was recorded by the stock exchanges in Milan, Paris and London. It was on the latter floor that the main stock index lost only a quarter of a percent.
Wednesday’s session ended similarly pessimistically in New York. There, the technology index Nasdaq lost the most, losing more than 1.5 percent. The main Wall Street S&P 500 index lost 0.83 percent and the Dow Jones Industiral Average fell marginally by 0.12 percent.
What spoils the mood of investors?
Investors’ bad mood was affected by worse-than-expected results from some technology companies. Tech giant Amazon, for example, has confirmed it will be laying off workers. Such news confirms investors’ belief that an economic recession is indeed imminent.
