Europe midday: Shares in the red as investors fret over recession

European shares were lower on Thursday as worries over a looming recession dampening sentiment.

The pan-regional Stoxx 600 was down 0.32% at midday GMT with all major Continental bourses lower.

“European markets opened mixed but have since turned lower with the FTSE 100 underperforming as the market finds itself in wait-and-see mode ahead of the Fed and the Bank of England’s crucial rate decisions next week,” said Interactive Investor head of investment Victoria Scholar

In equity news, UBS downgraded London Stock Exchange Group to ‘neutral’ from ‘buy’ on Thursday and cut the price target to 8,500p from 9,000p as it argued that forex headwinds will more than offset improving execution and valuation. The news sent the shares lower.

Ryanair shares rose after the low-cost carrier said group chief executive Michael O'Leary had agreed to extend his contract to 2028.

French automaker Renault fell as talks between it and Nissan over alliance restructuring are certain to spill into next year, Bloomberg reported.

British American Tobacco shares fell despite the company saying it expected full-year revenue growth of 2-4% at constant currency rates, as more people use its e-cigarettes and oral nicotine products.

Prudential shares gained on optimism towards China’s relaxation of its zero-tolerance Covid rules.

British Airways and Iberia owner IAG and Wizz Air flew higher after an upgrade to ‘buy’ at Bank of America Merrill Lynch.

Reporting by Frank Prenesti for Sharecast.com