European Shares Slide Amid Commodity Price Declines and Tech Stock Rout

European shares dropped on Friday, with the pan-European STOXX 600 index falling 0.6%. The decline was driven by lower commodity prices and a global tech stock rout. Travel and leisure shares, along with miners, led the losses. However, Danske Bank and Electrolux saw gains due to outperforming earnings.

European shares declined on Friday, affected by falling commodity prices and a continuing selloff in global technology stocks. Investors were also digesting a slew of earnings updates.

The pan-European STOXX 600 index fell 0.6% by 0715 GMT, marking a more than two-week low. Travel and leisure shares led the downturn with a 2.5% drop, primarily due to Evolution's maintenance of its full-year guidance. Miners dropped 1.8%, impacted by lower commodity prices amid a lack of Chinese stimulus measures.

German shares dipped 0.6% following a 1.6% year-on-year fall in producer prices in June, as projected by analysts in a Reuters poll. Sartorius, the pharmaceutical equipment supplier, fell 13.6% after reducing its full-year guidance.

Conversely, Danske Bank, Denmark's largest lender, surged 6.2% after exceeding second-quarter net profit expectations, supported by strong credit quality and increased net interest income, alongside an announcement of an interim dividend. Electrolux rose 6.9% due to a quarterly operating profit that surpassed estimates, thanks to cost-cutting measures.

(With inputs from agencies.)