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Petroleum industry

European Stocks Decline Amid Oil Price Contraction

Strategic Insights

— 1 min read

American depository receipts of European stocks were trading 1% lower on Wednesday, with oil stocks experiencing significant contractions following the decline in West Texas Intermediate crude oil prices. The hydrocarbon commodity has lost 50% of its value over the past seven months. Despite this decline, some companies in the region have managed to buck the trend, with Edap and Syngenta posting gains of 4.3% and 2.6%, respectively.

Key Takeaways:

  • Oil stocks in Continental Europe declined significantly, with VimpelCom-Com (VIP) down 7.9%, Statoil (STO) down 4.9%, and National Bank of Greece (NBG) down 4.5%, ArcelorMittal (MT) down 3.9%.
  • Royal Dutch Shell - A and B-Shares (RDS.A and RDS.B) in the UK contracted by 2.8% and 2.7%, respectively, while BHP Billiton (BBL) fell 2.5%.
  • Edap, developing a high-intensity focused ultrasound treatment of localized prostate cancer, led gainers in Continental Europe with a 4.3% increase, while Syngenta, an agribusiness, rose 2.6%, and Banco Bilbao Vizcaya Argentaria (BBVA) also posted gains.
  • In the UK, biopharmaceutical company Amarin (AMRN) gained 3.9%, microprocessor designer ARM (ARMH) jumped 1.9%, and Bank of Ireland (IRE) expanded by 1.3%. Building materials company CRH (CRH) was also up 1.2%.
  • The Comtex SmarTrend Alert system indicated an UPTREND on BHP Billiton (BBL) as of January 31st, 2015, and a DOWNTREND on CRH as of January 31st, 2015.

Statistics:

  • West Texas Intermediate crude oil price contracted following two days of gains.
  • The hydrocarbon commodity has lost 50% of its value over the past seven months.
  • American depository receipts of European stocks were trading 1% lower at 140.29 on the Bank of New York Mellon Europe ADR Index.
  • Oil stocks declined by 7.9%, 4.9%, and 4.5% for VimpelCom-Com (VIP), Statoil (STO), and National Bank of Greece (NBG), respectively.
  • Royal Dutch Shell - A and B-Shares (RDS.A and RDS.B) in the UK contracted by 2.8% and 2.7%, respectively.
  • BHP Billiton (BBL) fell 2.5%.
  • Edap, developing a high-intensity focused ultrasound treatment of localized prostate cancer, rose 4.3%.
  • Syngenta, an agribusiness, rose 2.6%.
  • Banco Bilbao Vizcaya Argentaria (BBVA) posted gains.

Sources:

  • "MidnightTrader via COMTEX"
  • Comtex SmarTrend Alert, an automated pattern recognition system
  • Bank of New York Mellon Europe ADR Index
  • Comtex News Network, Inc.

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