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Auto stocks hit European shares after Renault sales warning; weak China data stirs fear

Published 18/10/2019, 08:22
© Reuters.  Auto stocks hit European shares after Renault sales warning; weak China data stirs fear
FCHI
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RENA
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VOLVb
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STOXX
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SXAP
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(For a live blog on European stocks, type LIVE/ in an Eikon

news window)

Oct 18 (Reuters) - European shares fell on Friday, dragged

down by auto stocks after Renault's sales warning while a sharp

contraction in China's economy exacerbated worries about slowing

global growth.

The pan-European STOXX 600 .STOXX slipped 0.2% at 0705

GMT, as a volatile week where trading was dominated by Brexit

headlines, was set to end fairly unchanged.

Shares of automobiles and parts markers .SXAP shed 2%

after France's Renault RENA.PA cut its full-year revenue and

profit forecast amid a broad-based slump in auto

sales. Renault shares slumped 10%, set for their worst day in more

than three years and pulled Paris-listed stocks .FCHI down

0.6%.

Adding to auto stocks' pain was Sweden's truckmaker AB Volvo

VOLVb.ST forecasting slumping market demand on both sides of

the North Atlantic next year. Uncertainty over whether British Prime Minister Boris

Johnson would be able to win approval of the parliament for a

new Brexit deal on Saturday also weighed on sentiment.

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