BLBG: Europe Stocks Slide Toward 2-Week Low as Drugmakers Deepen Drop
European shares headed for their lowest level since the end of 2016 as drugmakers fell on concern they could face more price pressures in the U.S. under Donald Trumpâ€™s presidency.
The Stoxx Europe 600 Index fell 0.5 percent at 8:28 a.m. in London. Health-care shares tumbled the most since November, deepening losses that began late yesterday after Trump said heâ€™d force the industry to bid for government business.
The U.K.â€™s FTSE 100 Index halted a record streak of positive gains, down 0.3 percent after completing 12 straight daily gains and a 10th consecutive all-time high.
Novo Nordisk A/S and Shire Plc, which count North America as their biggest market, were among the biggest losers in the Stoxx 600 health-care index, tracking losses in U.S. peers yesterday.
Miners, utilities and personal-and-household goods companies were the only industry groups to advance on Thursday.
European stocks are losing momentum after kicking off last week with the best start to a year since 2013. The Stoxx 600 is down 0.7 percent this week.
â€ś2016 was a heavily macro driven year, with correlations in performance between stocks, sectors and styles hitting record highs,â€ť Citigroup Inc. analysts wrote in a Thursday note. â€śCorrelations have fallen dramatically, suggesting that stock picking is returning to the fore for 2017.â€ť