European Shares Slip at Market Open Amid Earnings Tide and Fed Decision

European shares started on a subdued note on Thursday as investors resumed trading after a mid-week holiday to analyze a flurry of significant earnings reports and the Federal Reserve’s indication of a delay in interest rate cuts.

The pan-European STOXX 600 edged down by 0.2% as of 0715 GMT, following its first monthly decline this year in April.

Investors returned to the market after the Labour Day holiday on Wednesday, a day when the Fed signaled that rates would remain elevated for a longer period due to recent disappointing inflation data.

Energy stocks experienced a 1.7% drop, with Vestas declining by 4.2% after the world’s largest wind turbine maker reported an unexpected loss in the first quarter.

Novo Nordisk raised its outlook for 2024 and posted better-than-anticipated first-quarter profits. However, the stock retreated by 2.4% after initially rising.

ING Groep in the Netherlands surged by 5.4% following a 2.5 billion euro ($2.68 billion) share buyback announcement and a robust performance in the first quarter. Standard Chartered in Britain climbed by 5% after beating first-quarter profit expectations, propelling the bank index to lead the sectoral gainers’ list.

Teleperformance, a French office services and call center company, soared by 15.4% following higher first-quarter sales.