European equity markets edged lower on Thursday, extending a week marked by volatility and cautious sentiment. Tech-linked stocks led the downturn as disappointing results from French electrical equipment maker Legrand intensified ongoing concerns over lofty valuations.

STOXX 600 Edges Lower Amid Earnings Season Volatility

The pan-European STOXX 600 index (.STOXX) slipped 0.2% to 570.98 points by 0909 GMT, putting it on course for a flat finish to the trading week. European markets have been under pressure since Monday, mirroring global sell-offs sparked by a hawkish tone from the U.S. Federal Reserve and anxiety around stretched valuations in the tech sector.

“It’s a pause for breath, not a decisive turn against the bulls,” said Michael Brown, senior research strategist at Pepperstone, describing the week’s pullback as an opportunity for “dip buyers” rather than a trend reversal.

Legrand Stock Tumbles on U.S. Tariffs and Sales Miss

• Legrand (LEGD.PA) shares plunged 11%, triggering a temporary trading halt.
• The company reported 11.9% sales growth for the first nine months of 2025—below expectations due in part to U.S. trade tariffs targeting tech infrastructure.

Other key players in the sector—Schneider Electric (SCHN.PA) and Siemens Energy (ENR1n.DE)—also fell by about 2% each amid investor reassessment of companies tied to the AI boom.

Earnings Winners: Novo Nordisk, Zalando, and Adecco

Despite broader weakness, several European stocks outperformed:

• Novo Nordisk (NOVOb.CO) surged 3.6% after Pfizer lost a legal attempt to block its acquisition bid for Metsera.
• Zalando (ZALG.DE) jumped 8.4% following strong Q3 results, with gross merchandise volume rising 21.6%.
• Adecco (ADEN.S) gained over 10% on better-than-expected quarterly sales and profit.
• Defense contractor Rheinmetall (RHMG.DE) rose 1.9% after reaffirming its full-year sales goals.

Banking and Economic Sentiment Mixed

• Commerzbank (CBKG.DE) dropped 2.7% after reporting a surprise decline in Q3 net profit, driven by higher tax expenses and operating costs.
• Norway’s central bank held interest rates steady, with the Bank of England decision awaited later today.
• Fresh data indicated the German economy may stagnate in 2025, following two consecutive years of contraction.