[MARKET ANALYSIS] European bourses broadly lower; Volvo Cars trades at its lowest ever following dire results

A softer start for much of Europe. Euro Stoxx 50 -0.4% and Stoxx 600 -0.4%, as the US tech-led (SOX -6.7%) pressure reverberated into the region, before pressure in European bourses was then exacerbated by a set of dismal French PMI data and poor earnings from several pertinent names. Following earnings, Kering, -12%, after missing marginally on overall revenue, but more pertinently as they highlighted traffic as an ongoing constraint and particularly within China, not expecting a H/H margin performance improvement and Q4 thus far has been in-line with Q3. Sticking in France, L’Oreal, +4.8%, gains after Q3 sales topped expectations, and the Chinese market only slowed a bit. Also hit, and at their lowest ever share price, Volvo Car, -28%, pressured by a dire set of earnings where China revenue fell near 50% Y/Y. European sectors hold a strong negative bias. Unsurprisingly, Energy takes the top spot, given the strength in underlying oil prices; Construction & Materials, and Real Estate complete the top three. To the downside, Telecoms is the clear underperformer, weighed by the SpaceX update, with Industrials following closely behind. US equity futures (ES -0.1% NQ +0.2% RTY -0.3%) are trading mixed; the tech-heavy NQ is the slight outperformer, whilst the RTY lags. The relative outperformance comes as tech rebounds a touch from the hefty losses seen in the prior session, with focus on SK Hynix (+5.7% pre-market), after the Co. has paused its Solidigm IPO.