November 6, 2015 / 8:17 AM / 3 years ago

European shares fall as Richemont and luxury stocks slide

LONDON, Nov 6 (Reuters) - European stock markets fell on Friday, with luxury goods stocks among the worst performers after Richemont warned of tough times ahead.

However, shares in Swiss agriculture company Syngenta rose more than three percent after media reports of a possible deal between it and DuPont.

The pan-European FTSEurofirst 300 index was down by 0.4 percent in early session trading, while the euro zone’s blue-chip Euro STOXX 50 index fell 0.4 percent.

Richemont fell 7 percent after the owner of the Cartier brand warned of a challenging second-half after first-half net profits grew less than expected, as strong demand for high-end jewellery could not make up for weaker luxury watch sales in Hong Kong.

Richemont’s decline dragged down the shares of its rivals, with Swatch falling 5 percent while LVMH also declined by 3.3 percent.

Steelmaker ArcelorMittal also fell 1.3 percent after Arcelor cut its 2015 outlook.

According to data from Thomson Reuters StarMine, 52 percent of companies on the European STOXX 600 index have beaten or met market forecasts with their third quarter results so far, although earnings guidance has been cut for the fourth quarter. (Reporting by Sudip Kar-Gupta; Editing by Alistair Smout)

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