European shares fell in limited trading on Monday, affected by major companies such as Mercedes-Benz that started trading shares without the right to dividends, while data that indicated a further contraction in Chinese factory activity limited the appetite for risks.
The pan-European STOXX 600 index fell 0.8% by 0714 GMT, on its way to halting gains that lasted three straight sessions, but trading was likely limited due to the banking holiday in Britain.
The ex-dividend trading severely affected the Stoxx index, as shares of major companies such as Mercedes-Benz, Bayer Healthcare, Continental Auto Parts and BASF Chemicals lost their attractiveness.
Data showed that Chinese factory activity shrank more than feared in April following restrictions to contain the spread of the Covid-19 pandemic halted industrial production and disrupted supply chains; This raised fears of a sharp economic slowdown in the current quarter.
And Vista wind turbine shares fell 4% following it cut its full-year operating profit forecast due to the war in Ukraine.
And the German real estate Adler Group’s share fell 44.1%, recording a record low, following it announced that all its board members offered to submit their resignations immediately following an auditor refused to give an opinion on the company’s financial statements.
