BS: European Stocks Drop for Longest Weekly Losing Streak Since 1998
By Sarah Jones
June 24 (Bloomberg) -- European stocks fell, completing the longest streak of weekly losses since 1998, as concern the region’s sovereign debt crisis will worsen overshadowed a rebound in mining shares and carmakers.
Italian banks tumbled as Unione di Banche Italiane ScpA fell below its rights offer price. Antofagasta Plc and Xstrata Plc advanced more than 2 percent as copper rallied. Porsche SE rose 2.2 percent as BofA Merrill Lynch Global Research reiterated its “buy” recommendation.
The benchmark Stoxx Europe 600 Index slipped 0.1 percent to 264.12 at 4:33 p.m. in London, a three-month low. The measure has declined for eight straight weeks as U.S. economic data trailed forecasts and concern mounted that Greece will default on its debt. The drop has dragged its valuation to the cheapest since 2008 compared to reported earnings, Bloomberg data show.
“The market is still waiting for Greece’s austerity measures next week and nobody is willing to heavily invest in equities right now,” said Robert Halver, head of research at Baader Bank AG in Frankfurt. “Greece is the first nail in coffin of the euroland.”
-- With assistance from Julie Cruz in Frankfurt. Editors: Andrew Rummer, Will Hadfield
To contact the reporter on this story: Sarah Jones in London at sjones35@bloomberg.net
To contact the editor responsible for this story: Andrew Rummer at arummer@bloomberg.net
