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Chipmakers drag European shares lower after Broadcom shock

Published 06/14/2019, 03:16 PM
Updated 06/14/2019, 03:20 PM
Chipmakers drag European shares lower after Broadcom shock
DE40
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SHEL
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TTEF
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STMPA
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IFXGn
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DLGS
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AVGO
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STOXX
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AMS
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SXEP
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WAFGn
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(For a live blog on European stocks, type LIVE/ in an Eikon
news window)
June 14 (Reuters) - Technology shares led European shares
lower on Friday after U.S. chipmaker Broadcom warned of a broad
slowdown in demand due to trade tensions and the U.S. ban on
Chinese tech and mobile phone company Huawei Technologies.
The forecast of a $2 billion hit to sales at one of the
biggest U.S. players in the sector came as Chinese industrial
output growth slowed to a more than 17-year of 5% in May and
were among the clearest signs yet of the damage President
Trump's trade war may do to global growth.
European semiconductor companies Infineon IFXGn.DE , AMS
AMS.S and STMicroelectronics STM.MI , Siltronic WAFGn.DE ,
Dialog Semiconductor DLGS.DE all dropped between 2% and 3%
after Broadcom Inc AVGO.O outlined the impact of a total halt
in sales to Huawei.
The pan-European STOXX 600 index .STOXX fell 0.38% by 0707
GMT, with Germany's trade-sensitive DAX .GDAXI falling 0.40%.
Energy stocks .SXEP were an outlier, up 0.2%, with oil
majors Total SA TOTF.PA and Royal Dutch Shell RDSa.L
providing the biggest boost. O/R

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