European Shares Fall on Losses in Technology

European shares rebounded during trading on Tuesday, September 28, as a jump in government bond yields pressured high-growth technology stocks, in addition to the emergence of new indications of a slowdown in the Chinese economy that cast a shadow on investor sentiment.

The European STOXX 600 index fell 0.4%, declining for the third consecutive session, as a jump in US Treasury bond yields indicated that investors are preparing for high levels of liquidity and the continuing risk of inflation.

And data showed that the profits growth of Chinese industrial companies slowed for the sixth consecutive month in August, amid the unfolding of an electricity crisis that poses a growing threat to production and profits.

However, the rise in Brent crude futures contracts above $ 80 a barrel continued to support energy stocks, as the oil and gas index rose 1.1% to new highs not reached since February 2020.

Bank shares received support from higher interest rates, but technology shares were the lowest, dropping about 2% after their Wall Street peers fell overnight.