Airbus influences European stock market

Amid parliamentary elections, the European stock market closed down on Tuesday (25). The change in figures was inspired by the latest statement from Airbus, a European company founded in 1970 that operates in the aerospace and military sectors.

The company announced this week that it will not be able to meet the target set for 2024. The agreement was for the company to deliver around 800 aircraft within the stipulated period, but the company will only deliver 770. The reason for the change in target was due to complications in the supply chain.

Consequences of the Airbus statement

The pan-European Stoxx 600 index, a major financial benchmark that takes into account seventeen European countries, fell 0.29% to 517.70 points.

With the failure of Airbus, sectors of the technological niche decided to retreat in this moment of uncertainty, further damaging the market that closed in:

DAX-30: Frankfurt − closed with 0.89% (18,162.53 points);

PSI-20: Lisbon − closed with 0.36% (6,567.39 points);

FTSE-100: London − closed with 0.53% (8,247.79 points);

IBEX-35: Madrid − closed with 0.48% (11,118.90 points);

FTSE MIB: Milan − closed with 0.38% (33,707.21 points);

CAC-40: Paris − closed with 0.58% (8,247.79 points).

Airbus itself suffered an 11% drop. The aerospace and defense niche Stoxx fell 5.1% to near historic highs.

_{Frankfurt Stock Exchange (photo: reproduction/Rauters/CNN)}

Experts expect recovery

After the stock market movements, the market is now looking at the political scenario, where important parliamentary elections will take place in France in the coming days and disputes for leadership positions in Brussels.

Experts remain hopeful that the decisions will not bring new consequences and will inspire a quick recovery, but they are alert to political agreements that could cause deficits in some countries.

Featured photo: Airbus A380 aircraft (reproduction/Airbus SAS 2005/S.Orgnier/Aeroflap)