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Property

Spanish construction rebuilds after market collapse

Property developer Olivier Crambade founded Therus Invest in Madrid in 2004 to build offices and retail space. For five years business went quite well, and Therus developed and sold more than €300m of properties. Then Spain’s economy imploded, taking property with it, and Mr Crambade spent six years tending to Dhamma Energy, a solar energy […]

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Currencies

Euro suffers worst month against the pound since financial crisis

Political risks are still all the rage in the currency markets. The euro has suffered its worst slump against the pound since 2009 in November, as investors hone in on a series of looming battles between eurosceptic populists and establishment parties at the ballot box. The single currency has shed 4.5 per cent against sterling […]

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Banks

RBS falls 2% after failing BoE stress test

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Currencies

China capital curbs reflect buyer’s remorse over market reforms

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Categorized | Equities

Pharma companies and gold miners gain, banks dropping as European markets open


Posted on November 9, 2016

Shares in precious metals miners and pharmaceutical companies are jumping and banking and insurance stocks are falling in Europe as investors react to Donald Trump’s victory in the US Presidential election.

At publication time:

  • Fresnillo, the Mexico-based gold and silver miner is up 15.2 per cent
  • Africa-focused gold miner Randgold Resources is jumping 9.9 per cent
  • Centamin is gaining 7.7 per cent
  • Novo Nordisk, the Danish pharmaceuticals business, is 2.6 per cent higher
  • AstraZeneca is gaining 3.7 per cent
  • French drugmaker Sanofi is rising 2.2 per cent
  • Shire is up 4.6 per cent.

A victory for Hillary Clinton was seen as negative for pharmaceutical companies as she had questioned the prices of drugs in the US.

At the other end of the scale banks are taking the heat as European and US government bond yields are falling and investors shy away from risk.

  • Spanish bank BBVA is falling 8.5 per cent
  • French bank Natixis is also among the bigger fallers in Europe, dropping 5.8 per cent
  • French insurer Axa is off 6.1 per cent

In the early hours of Wednesday, investors have been piling into assets such as gold and the Japanese yen – havens in times of volatility – as is became clear that Mr Trump was edging closer to victory.

Oil, meanwhile, has been heading south with Brent crude dropping as much as 3.6 per cent at one stage earlier on Wednesday to $44.40 a barrel, the lowest level since August. At publication time, Brent is 1.17 per cent lower at $45.52 a barrel.