Slump in Erste Bank halts European stocks rally

viernes 4 de julio de 2014 10:43 GYT
 

* Vienna stock market down 3.2 pct as Erste slumps

* Erste drags down other rival banks

* Broader European markets remain near multi-year highs

* FTSEurofirst 300 down 0.1 pct but near 6-1/2 year high

* U.S. market closed for public holiday

By Sudip Kar-Gupta

LONDON, July 4 (Reuters) - A slump in the shares of Austrian bank Erste hit the Vienna stock exchange on Friday and halted a rally on the broader European equity market which had hit multi-year highs this week.

Erste dropped by 16 percent after the bank, which is the third-biggest lender in emerging Europe, warned that fresh hits from Romania and Hungary would drive it to a record 2014 loss.

Erste also dragged down the shares of Austrian rival Raiffeisen and weighed on Vienna's benchmark ATX index, which fell by 3.2 percent and underperformed other major European stock markets.   Continuación...