Tech Stocks Tumble as ASML's Forecast Disappoints

European shares fell sharply, driven by a significant drop in technology stocks after disappointing sales forecasts from ASML. The pan-European STOXX 600 index declined 0.8%, with tech stocks down 6.5%. ASML saw a 15.6% plunge amidst disappointing bookings and reduced 2025 sales forecasts. Investors are now closely watching other tech earnings.

European stock markets took a hit as technology shares, led by ASML's disappointing performance, dragged indices down. ASML's leaked third-quarter results forecast weaker annual sales, sending the company's stock plummeting 15.6% — its sharpest decline in decades.

The pan-European STOXX 600 fell 0.8%, with the tech sector marking its hardest hit since October 2020, while the euro zone's blue-chip index decreased 1.8%. Investors are now turning their attention to upcoming tech earnings from companies such as Nvidia.

Energy stocks also suffered a significant downturn, dropping 3.3%, as oil prices reacted to news that eased fears over potential supply disruptions. Eyes are on the European Central Bank's forthcoming interest rate announcement, following economic data revealing a downturn in euro zone conditions.

(With inputs from agencies.)