European bonds slip after diseased German prolongation data

By Sara Sjolin, MarketWatch

LONDON (MarketWatch) — European bonds retreated on Monday after a surprisingly high dump in German industrial prolongation information sparked worries that Europe’s mercantile engine is losing steam.

The Stoxx Europe 600 index

/quotes/zigman/2380150/delayed XX:SXXP

 dropped 0.9% to tighten during 344.80, after finishing final week with a biggest weekly allege given March.

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Germany’s DAX 30 index

/quotes/zigman/2380246/delayed DX:DAX

 slumped 1% to 9,906.07, while France’s CAC 40 index

/quotes/zigman/3173214/delayed FR:PX1

 gave adult 1.4% to 4,405.76. The U.K.’s FTSE 100 index

/quotes/zigman/3173262/delayed UK:UKX

 slid 0.6% to 6,823.51.

The waste came after information showed industrial prolongation in Germany forsaken 1.8% in May, imprinting a biggest monthly slip given Apr 2012. That is good next expectations of a prosaic rate for May in a consult of economists by The Wall Street Journal.

That followed a news on Friday that showed German production orders fell 1.7% in May, also weaker than expected, while softer-than-forecast stagnation information out final week serve lifted red flags.

Steen Jakobsen, arch economist during Saxo Bank, has voiced concerns about Germany’s robustness and pronounced a nation could strike 0 mercantile expansion by a initial entertain of 2015. See some-more in a Need to Know blog


Among important movers in Europe, shares of Sky Deutschland AG

/quotes/zigman/565745/delayed DE:SKYD

 dropped 4.1% after Nomura cut a cable-TV association to neutral from buy, according to Dow Jones Newswires.


/quotes/zigman/244740/delayed UK:SAB

 slipped 1.3% as a brewer pronounced it skeleton to sell a 40% stake
in African hotel and casino organisation Tsogo Sun Holdings Ltd. for around $1.09 billion.

Swiss insurer Helvetia Holding AG

/quotes/zigman/281784/delayed CH:HELN

 lost 1.2% after a association pronounced it has agreed to buy a infancy interest in Nationale Suisse,
charity shareholders 80 Swiss francs ($89) per National Suisse share.

On a some-more upbeat note, PostNL NV

/quotes/zigman/4710470/delayed NL:PNL

surged 19% after a Dutch postal association lifted a full-year superintendence following a clever mail opening in a Netherlands.

Also on a rise, Tele2 AB

/quotes/zigman/16758203/delayed SE:TEL2B

 advanced 1.8% after a Swedish telecom user pronounced it will sell a mobile section in Norway to opposition Swedish telecom association TeliaSonera AB

/quotes/zigman/260738/delayed SE:TLSN

for a money value of 5.3 billion Swedish kronor ($773.9 million). TeliaSonera finished 1.9% higher.

Trading in Gowex SA shares

/quotes/zigman/14869637/delayed ES:GOW

 was halted for a third day after a Spanish wi-fi provider pronounced on Sunday it had filed for failure insurance after a company’s authority concurred equivocating accounts and resigned.

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