European stocks fell on Friday as investors fretted about the impact of interest rate hikes on growth, while the yen benefited from reports that academic Kazuo Ueda was set to be appointed Japan’s next central bank governor.
The MSCI World Equity Index (.MIWD00000PUS) was down 0.5% on the day at 1258 GMT, on track for its worst week since mid-December.
Europe’s STOXX 600 was down 1.5% and on track for a weekly loss (.STOXX), while London’s FTSE 100 was down 0.7% (.FTSE).
U.S. stock futures also fell, with Nasdaq e-minis down 1.2% and S&P 500 e-minis down 0.7% .
Maximilian Kunkel, chief investment officer for Germany and global family and institutional wealth, said that recent earnings reports, particularly for U.S. technology companies, have hit market sentiment.
“The focus is shifting away from the positive impact of disinflation towards concerns around growth.”
“People (are) realizing that the earning season hasn’t actually been all that great,” he said. “Investors are starting to expect lower profit margins as inflation comes down.”
This report’s information was first seen on REUTERS; to read more, click this link.
