The stock market decline for Europe's largest technology company – E24

The stock market decline for Europe's largest technology company – E24

The decline seen in European markets on Tuesday was replaced by a more positive mood on Wednesday.

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There is a widespread rally in stock markets in Europe. And this is what the leading indicators will look like shortly after 12.30:

  • The DAX index in Frankfurt rose 0.71 percent
  • The FTSE 100 index in London rose 0.59%.
  • The CAC 40 index in Paris rose 1.35 percent
  • The IBEX 35 index in Madrid rose 1.32%.
  • The Stoxx Europe 600 collective index rose 0.66%.

On Tuesday, markets witnessed a broad decline in the wake of geopolitical uncertainty caused by the Iranian retaliatory attack on Israel.

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Lower than expected from ASML

Shares of Dutch computer chip company ASML fell more than 3 percent on the Amsterdam Stock Exchange at 12:30 p.m.

At the same time, the AEX stock index, which includes the 25 largest companies on the Dutch stock exchange, rose slightly.

The result follows the introduction of ASML, the largest technology company in Europe Quarterly results Wednesday morning.

It showed that the company's orders in the first quarter fell to 3.6 billion euros, from 3.75 billion in the same period in 2023.

This was much lower than the 4.63 billion analysts had previously expected, according to a Bloomberg survey.

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ASML's total revenues ended at €5.29 billion for the quarter, down from €6.75 billion in the first quarter of 2023.

Declining demand for the company's more advanced chips is cited as the main reason. Meanwhile, the company expects strong growth in 2025, due in part to increased demand for computer chips dedicated to artificial intelligence (AI), according to Reuters.

ASML wrote that they expect improvement in the second half of 2024, and are maintaining their 2024 outlook.

Noticeable rise in Stockholm

As in Oslo Børs, there is an increase in many stock exchanges in the Nordic countries.

At the time of writing, the Stockholm Stock Exchange was up 1.17 percent, while the Helsinki and Copenhagen Stock Exchanges were up 0.55 and 0.14 percent, respectively.

The companies helping to lift the Stockholm Stock Exchange include, among others, car manufacturer Volvo and clothing brand HM. Both stocks rose by more than 2.5 percent.

Dalila Awolowo

Dalila Awolowo

"Explorer. Unapologetic entrepreneur. Alcohol fanatic. Certified writer. Wannabe tv evangelist. Twitter fanatic. Student. Web scholar. Travel buff."

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