Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

Europe midday: Shares slip into red; Barratt slides on Redrow takeover

(Sharecast News) - European shares slipped into the red on Wednesday amid another dump of corporate earnings and trading statements, with UK housebuilder Barratt's agreed £2.5bn all-share takeover of rival Redrow among the major deals. The pan-European Stoxx 600 index was down 0.20% at 485.76 in early deals with all regional bourses in the red.

"Market sentiment has been more "glass half full" as fresh comments from policymakers poured out about the progress made on inflation, helping lift stocks on Wall Street," said Hargreaves Lansdown analyst Susannah Streeter.

German industrial production fell unexpectedly in December, with big falls in output from the key chemical industry.

Industrial production fell 1.6%, compared with expectations of a 0.4% decline, increasing the risk of a downward revision to fourth-quarter GDP. The figure compared with a 0.2% fall in November. On an annual basis, industrial production was down 3%.

In equity news, shares in Barratt fell after it announced its Redrow takeover. Under the terms of the deal Redrow investors will receive 1.44 new Barratt shares for their own stock which would leave them with 32.8% of the combined group and Barratt shareholders with the remainder. Redrow shares gained 13% on the news.

TeamViewer jumped after the German software developer reported higher-than-expected fourth-quarter revenue and earnings.

Sainsbury's lost ground after saying in a strategy update that it plans to overhaul its supermarkets to focus more on food space as it looks to cut costs by £1bn over the next three years.

Smurfit Kappa gained after posting lower full-year earnings and revenue amid a "difficult" demand environment, but said that volumes returned to growth in the fourth quarter.

Reporting by Frank Prenesti for

Share this article

Related Sharecast Articles

Week ahead: French EDP, BoE in focus
(Sharecast News) - All eyes over the coming week are likely to remain on France and the newsflow ahead of the first round of voting in parliamentary elections at the end of June.
London close: Stocks fall amid French political concerns
(Sharecast News) - London stocks were still in the red by the close on Friday, mirroring a broader European selloff driven by political uncertainty in France.
Broker tips: Halma, Genuit
(Sharecast News) - Analysts at Berenberg hiked their target price on safety equipment business Halma from 2,295.0p to 2,450.0p on Friday following the group's full-year earnings report a day earlier.
Director dealings: Netscientific director ups stake
(Sharecast News) - Netscientifc revealed on Friday that executive director Ed Hooper had acquired 20,000 ordinary shares in the AIM-listed life sciences VC group.

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.