European shares fell sharply on growing uncertainty about international rates

The european stocks fell this Friday, August 11, on concerns that world interest rates could remain high for longer, while shares of the Swiss bank UBS rose after ending the state guarantee granted for its acquisition of Credit Suisse.

The index pan-european STOXX 600 it lost 1.1%, dragged down by a 2.1% plunge in rate-sensitive real estate and technology stocks.

The main regional markets declined, with a decline of 1.2% of the FTSE 100 after data showing unexpected growth in the economy in the second quarter, which fueled fears of more price rises. interest rates by the bank of england.

Wall Street fell after US wholesale price data

The main indices of Wall Street they also fell after data from the producer prices for July in the United States better than expected, after a modest acceleration of inflation of consumer prices briefly encouraged the market on the eve.

Although it is expected that the Federal Reserve pause its aggressive monetary tightening cycle, investors are concerned about the likelihood of a slowdown in global economic growth and of new go up from interest rates by the European Central Bank.

He STOXX 600 closed the week stable, as the good results were offset by the collapse of European banks at the beginning of the week, after Italy’s decision to apply an extraordinary tax on them.

All the major sectors registered losses and basic resources fell 1.7%, its biggest weekly decline in seven years, as the metal prices They were pressured by the weakness of the Chinese economic datawhich fueled concern about the demand slowdown the world’s leading consumer of metals.

Among the bulls, the largest Swiss bank, UBSadded 4.7% after announcing that it will not need the State guarantee that it obtained to rescue Credit Suisse.