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Daimler profit warning weighs on European shares, eyes on G20

Published 06/24/2019, 03:21 PM
Updated 06/24/2019, 03:30 PM
Daimler profit warning weighs on European shares, eyes on G20
DE40
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MBGn
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STOXX
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SXEP
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(For a live blog on European stocks, type LIVE/ in an Eikon
news window)
June 24 (Reuters) - A profit warning from Mercedes-Benz
maker Daimler dampened European stock markets early on Monday,
as investors looked for direction to a keenly awaited G20 summit
this week that brings U.S. and Chinese leaders together after a
long lull in talks.
Daimler AG's shares DAIGn.DE dropped 3% after it cut its
2019 earnings outlook on Sunday and lifted provisions for issues
related to its diesel vehicles by hundreds of millions of euros.
That dragged shares in several of its peers lower and
Germany's auto heavy DAX index .GDAXI dipped 0.1%. The
pan-European STOXX 600 index .STOXX was down around 0.2% by
0706 GMT.
A rise in oil prices helped the energy .SXEP sector
outperform the main index with a 0.5% rise after U.S. Secretary
of State Mike Pompeo said that "significant" sanctions on Iran
would be announced on Monday. O/R
President Donald Trump on Sunday said he was not seeking war
after a senior Iranian military commander warned any conflict in
the Gulf region could spread uncontrollably and threaten the
lives of U.S. troops.

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