European stocks started the week in negative territory on Monday, with the pan-European Euro Stoxx 600 index falling 0.79 percent by mid-morning. Auto stocks were the biggest decliners, dropping 3.8 percent , led by Stellantis, which saw its Milan-listed shares plummet 13.5 percent. The automaker cut its 2024 guidance, citing worsening global industry conditions and increased competition from China.
Other major automakers also faced losses, with France’s Renault down over 6 percent, and Germany’s Porsche and Volkswagen both losing around 3 percent.
This downturn comes after European markets reached a record high on Friday, buoyed by China’s stimulus measures aimed at boosting its economy. However, Monday’s decline reflects broader market concerns.
In Asia, mainland Chinese stocks surged over 8 percent, while Japan’s Nikkei 225 fell nearly 5 percent. China's official purchasing managers’ index for September came in at 49.8, slightly better than expected but still marking the fifth straight month of contraction in the manufacturing sector. Japan’s industrial production also slumped, dropping 4.9 percent year-on-year in August, surpassing July’s 0.4 percent decline.
Meanwhile, U.S. stock futures remained steady after three consecutive weeks of gains for major U.S. indexes. Investors continue to monitor global economic data and market trends as September comes to a close.
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