Pharma Stocks Decline
After about three hours of trading on Wednesday, stocks in the pharmaceutical sector continued to decrease.
The Stoxx Europe Pharmaceuticals and Biotechnology index was reported to be down by 1.8%, following a warning from U.S. President Donald Trump of potential tariffs reaching as high as 250% on the pharmaceutical industry.
Major Swiss companies like Novartis and Roche saw drops of 3.2% and 2.3%, respectively, while Merck was down by 1.1%, and Britain’s GSK decreased by 0.8%.
— Chloe Taylor
Bayer’s Stock Droops Post Earnings Report
Shares of the German chemical company Bayer fell by 4.5% following an announcement that the company was “on track” despite a net loss of €199 million in the second quarter, attributed to ongoing litigation.
Second-quarter sales experienced a modest increase of 0.9% to €10.7 billion, but EBITDA fell to €2.1 billion, lower than analyst expectations of €1.8 billion.
Despite the loss, CEO Bill Anderson raised the 2025 growth outlook for both sales and earnings, acknowledging solid performance in the pharmaceutical segment.
— Chloe Taylor
Pharma Stocks Hit After Trump’s Tariff Threats
As of 8:46 a.m. in London, the Stoxx Europe Pharmaceuticals and Biotechnology index had dropped by 0.8% in response to President Trump’s tariff threats, hinting at rates as high as 250% in the coming years.
In early trading, shares of Sweden’s Oncopeptides saw a decrease of 7%, while Belgium’s Galapagos was down by 5.3%.
— Chloe Taylor
Beiersdorf Shares Fall by 9%
German consumer goods firm Beiersdorf announced a downward revision of its full-year sales forecast due to challenging market conditions, now projecting organic sales growth of just 3% instead of the anticipated 4% to 6%.
This caused shares to decline by 9%, placing the company at the bottom of the Stoxx 600 index.
— Michael Considine
European Markets Open Higher
Glencore Reports Decline in Profit
Mining giant Glencore reported a 14% drop in first-half profit due to pressures from reduced coal prices and anticipated operational issues in its copper division.
The company stated that its listings will remain in London and transitioning to a U.S. domestic issuer is not “value accretive” for shareholders.
— Emilia Hardie
