European stocks open to stability and the gains of energy companies erase the losses of the technology sector

European stocks fell at the open on Thursday, as investors assessed mixed business results announced by companies in the region, and disappointing financial results from two US giants, Netflix and Tesla, weighed on sentiment.

The pan-European STOXX 600 index was down 0.2 percent by 0705 GMT.

Frankfurt-listed shares of Netflix and Tesla fell 8.2% and 3.7%, respectively, after they announced disappointing earnings late on Wednesday.

But SABB rose 3.2 percent after the Swedish defense company raised its forecast for organic sales growth.

Volvo shares fell 6.3 percent after the company reported a 54 percent drop in operating revenue for the second quarter, despite anticipating strong demand for its cars.

Electrolux fell 10.7 percent after Europe’s largest maker of home appliances turned to a second-quarter loss.

The technology sector recorded the biggest losses among the subsectors, with semiconductor company ASML Holding falling 3 percent, extending its losses after the company announced financial results on Wednesday.