European Shares Decline Due to Slump in Pharmaceutical Sector

Due to FDA’s decision to further delay the review of AstraZeneca’s heart drug Brilinta, the Company witnessed a slide in its share prices making European shares declined by midday on Wednesday. But, the loss was compensated by the advancement in the stock prices of car makers.

The pan-European FTSEurofirst 300 index of chief shares at 1046 GMT dropped 0.3% to 1,084.14 points. In September, it increased 5.6% and the analysts showed positivity by saying that the index is still giving some of the profits.

Georgina Taylor, equity strategist at Legal & General Investment Management stated that they anticipated that the index would hover around that range and it was somewhat close to that range only. He added that there are no expectations of any new economic data to come out that could change the range.

He said, "Going forward, the sovereign risk issues may come to the fore again over the next month, with the core versus periphery (countries) story in Europe. We'll see that differentiation again".

AstraZeneca, the drug manufacturers declined 1.3%, on account of delay in the approval of its heart drug Brilinta for three months.

The stock price of Roche dropped 1.4% and that of Sanofi-Aventis decreased 0.8%.

Due to the fall in the oil prices, Total slumped 1% and BP declined 1.6%.

Talking about the automobile sector, Renault advanced 3%, PSA Peugeot Citroen gained 4.1%.

There was a slump of 0.25 in the FTSE 100 .FTSE index. Germany's DAX .GDAXI dropped 0.4% and CAC of France fell 0.5%.