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UPDATE 1-European stocks slip after four-day run, U.S. tariffs hit Airbus

Thu, 13th Aug 2020 09:39

(For a live blog on European stocks, type LIVE/ in an Eikon
news window)

* FTSE 100 leads declines on ex-dividend trading

* Investors confident of imminent U.S. stimulus - analysts

* Thyssenkrupp slides on flagging losses in steel unit

* Danish brewer Carlsberg falls on sales warning in key
markets
(Adds comments; updates prices)

By Sruthi Shankar and Sagarika Jaisinghani

Aug 13 (Reuters) - European stocks fell on Thursday as
simmering tensions between the United States and China, and
elusive U.S. fiscal stimulus, pushed investors to book profits
after four straight sessions of gains, while Airbus dipped as
Washington left aircraft tariffs unchanged.

The pan-European STOXX 600 was off 0.4%, with
Airbus sliding 1.2% after the U.S. government said it
would maintain 15% tariffs on planes and 25% tariffs on other
European goods, despite moves to resolve a long-standing dispute
over aircraft subsidies.

London's FTSE 100 was at the front of declines among
major European bourses, led by AstraZeneca, BP,
Diageo, Glaxosmithkline and Legal&General
, which traded without entitlement to a dividend payout.

Still, with the U.S. S&P 500 index within striking
distance of a record high, analysts said there were few cues for
global equities to pull back, with investors also disregarding
U.S-China angst.

"There's no stopping this market at the moment," said
Michael Baker, an analyst at ETX Capital.

"There's not a lot negative sentiment (and) the market is
fairly confident that a U.S. stimulus deal will be reached even
if it's a last minute one."

U.S. Democrats and Republicans remain deadlocked after weeks
of wrangling over a fifth coronavirus aid bill. President Donald
Trump on Wednesday accused congressional Democrats of not
wanting to negotiate because he was refusing to go along with
"ridiculous" spending requests unrelated to the pandemic.

In Europe, the STOXX 600 is still about 14% below its
all-time high as data points to a slower-than-expected rebound
from the pandemic. A survey on Thursday showed German companies
expect business to return to normal in an average of 11 months,
with the number even higher for firms in the services sector.

Struggling conglomerate Thyssenkrupp plunged 13.1%
after it said its steel unit would rack up 1 billion euros ($1.2
billion) in operating losses this year, raising pressure to fix
or sell the division. The stock is on course for its biggest
one-day decline in three months.

Danish brewer Carlsberg slid 4.7% on warning that
lockdowns will impact sales in the second half of the year in
its key markets of China and Western Europe.

TUI, the world's largest tourism company, fell 3.0%
as it sunk to a 1.1 billion euro ($1.30 billion) loss in the
third quarter due to the COVID-19 pandemic.
(Reporting by Sruthi Shankar in Bengaluru; Additional reporting
by Sagarika Jaisinghani; Editing by Arun Koyyur, Bernard Orr)

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