22.10.202615:51:04UTC+00European Stocks Sink on Thursday

European equities slumped on Thursday, with the Euro Stoxx 50 sliding about 2% to its lowest level in more than four months and the broader Stoxx 600 losing 1% to a one-week low. Italy’s benchmark led the declines with a drop of over 2.5%, Spain fell around 2%, Germany and France each shed more than 1%, and the UK slipped by less than 0.5%.

Sector-wise, basic resources underperformed, tumbling more than 3.5% as metal prices retreated sharply, including a nearly 5% slide in silver, a drop of over 2.5% in copper, and a decline of more than 2% in gold. Banks lost more than 3%, industrial goods and services fell around 2.5%, and technology stocks were down about 2%. Energy and travel names also weakened. By contrast, defensive sectors outperformed, with health care and food, beverage & tobacco each advancing around 2%.

In corporate moves, Hermès lost 5% after reporting flat sales. Thales and Barclays also traded lower, despite the former raising its guidance and the latter posting higher profits. On the upside, SAP gained more than 3.5% after lifting its full-year outlook, while Nestlé rose 2.3% on stronger-than-expected quarterly sales. Roche was little changed even though its sales topped forecasts.