European Factors to Watch-Ukraine crisis sets up shares for lower start

miércoles 7 de mayo de 2014 02:37 GYT

LONDON May 7 (Reuters) - European stocks were seen falling at the open on Wednesday, hit by the mounting threat of a civil war in Ukraine and weak results from blue chip companies such as industrial conglomerate Siemens and brewer Anheuser-Busch InBev.

At 0623 GMT, futures for the Euro STOXX 50, Britain's FTSE 100 , Germany's DAX and France's CAC were down betweem 0.1 percent and 0.5 percent.

Ukraine slid further towards war as violence between supporters of Russia and of a united Ukraine flared at dusk in the eastern port of Mariupol, with both sides accusing each other of tearing the country apart.

"European investors look set to take more money off the the state of affairs in the Ukraine begins to deteriorate more rapidly," William Nicholls, a dealer at Capital Spreads, wrote in a trading note. "The country looks increasingly like it is heading for civil war - thus the change in outlook among investors is understandable."

In a sign of the direct impact of the Ukraine crisis on European companies, France's No. 2 listed bank Societe Generale said on Wednesday it had booked a 525 million euro ($731 million) writedown on the value of its Russian unit Rosbank blaming heightened uncertainty and a decline in the Russian rouble.

Danish brewer Carlsberg, one of Europe's blue-chips with the highest exposure to Russia also cited currency in Russia as it reported a fall in first-quarter operating profit and lowered its full-year net profit guidance.

Engineering giant Siemens and world's largest brewer AB Inbev posted weaker-than-expected increases in profits on Wednesday.

With just over half of the reporting season now behind us, roughly 47 percent of STOXX Europe 600 companies which reported through May 6 have missed analyst forecasts, the worst performance since the first quarter of 2013, StarMine data showed.   Continuación...