European shares dip ahead of Iran’s retaliation to US airstrikes

FRANKFURT, June 24 — European stocks finished modestly lower on Monday as investors waited for Iran’s response to the weekend US air strikes on its nuclear sites, reported dpa-AFX news.

The initial response came on Monday evening after the close of markets in Europe, with Iran firing at US military bases in Qatar and Iraq.

Media reports suggest that Iran is also mulling blocking the Strait of Hormuz, a key artery for global oil and gas supplies being sent around the world from Middle East.

Germany’s DAX sank 81.54 points or 0.35 per cent to finish at 23,269.01, while the FTSE in London dipped 16.61 points or 0.19 per cent to close at 8,758.04 and the CAC 40 in France shed 52.09 points or 0.69 per cent to end at 7,537.57.

In economic news, the euro area private sector expanded for the sixth straight month in June as sustained increases in manufacturing output coincided with a stabilisation of services activity, flash purchasing managers’ survey results from S&P Global showed on Monday. The flash HCOB composite output index remained unchanged at 50.2 in June. The index posted above the 50.0 no change mark for the sixth straight month but the pace of growth was marginal.

The UK private sector output picked up at the strongest pace in three months in June after business volume returned to growth, flash survey results from S&P Global showed on Monday. The flash composite output index registered 50.7 in June, up from 50.3 in May. The reading was above the crucial 50.0 no-change value for the second straight month.

Germany’s private sector returned to growth in June, led by the manufacturing sector, flash data from S&P Global revealed on Monday. The HCOB composite output index stood at 50.4 in June, rebounding from a five-month low of 48.5 in May.

France’s private sector output declined further in June as manufacturers joined services providers in the contraction territory, flash survey results from S&P Global showed on Monday. The HCOB flash composite output index declined to 48.5 in June from 49.3 in the previous month. — Bernama-dpa-AFX