European stocks dropped on Monday, with tech companies leading a downward slide on worries about rising interest rates.
The Stoxx Europe 600
dropped 0.7%, weakening as U.S. stock futures
headed lower ahead of the market open. Markets are girding for aggressive action this year from the Federal Reserve to cool off the world’s largest economy.
shares skidded 17% as the French IT services firm warned of worse margins than it previously forecast. Free cash flow is expected to be €-420 million, ahead of a previous estimate it would be positive. CEO Rodolphe Belmer, who only started last week, said the factors that weighed on its performance were “non-recurring.”
jumped 27% in Switzerland after a Phase 2 trial showed its COVID-19 treatment reduced hospitalization, as Novartis
exercised a right to commercialize the drug. Novartis will pay 150 million francs ($162 million) to Molecular Partners for the licensing, as well as “significant” royalties on any sales.