European stocks fell, pushing the Dow Jones Stoxx 600 Index to the lowest level since May 2003, as concern deepened the economic slowdown will cut profits for chemical companies, financial firms and commodity producers, Bloomberg reports.
BASF SE, the world’s largest chemical company, tumbled 14% after abandoning its profit target. UBS AG slumped 9% as Morgan Stanley slashed its estimate for the Swiss bank’s earnings by 23%, citing the possibility of more writedowns. SSAB AB, Sweden’s largest steelmaker, slid 16% after saying deliveries will drop in the fourth quarter.
The Stoxx 600 lost 4% to 193.77, extending this year’s drop to 47%. More than $31 trillion has been erased from the value of global equities as financial-market turmoil pushes countries from Europe to the US and Japan into recession.
The full story is available at the Bloombergs web-site.
D.C.