Tue Nov 12 12:42:51 UTC 2024: ## London Stocks Fall as German Outlook Worsens and Trump’s US Election Victory Casts Shadow
**London, November 12, 2024** – The FTSE 100 index dropped by 1% at midday Tuesday, weighed down by a gloomy economic outlook for Germany and lingering uncertainty stemming from Donald Trump’s US election victory.
Germany’s annual consumer price inflation rose to 2% last month, but the ZEW institute’s economic expectations index plummeted to 7.4 in November, significantly lower than market expectations. This decline reflects concerns about Germany’s economic future, particularly in light of the recent US elections.
“Headwinds for the eurozone have intensified lately,” said Alexander Valentin of Oxford Economics, citing lackluster growth and geopolitical uncertainty fueled by the US election.
The FTSE 250 and AIM All-Share also saw declines, reflecting the broader market pessimism.
**Vodafone** was a notable loser, down by 5.9% after announcing a 50% cut in its interim dividend and forecasting a slowdown in the German market. Despite revenue growth and increased pretax profit, investors remain wary of the company’s future prospects.
**Drax** led the FTSE 250 gainers, surging by 7.5% on the back of strong performance in its energy operations and a positive outlook for 2024.
**Bank of Georgia** also climbed by 5.4%, driven by strong third-quarter results and the prospect of continued economic growth in the country.
The UK unemployment rate rose to 4.3% in the three months to September, exceeding market expectations, while wage growth slowed. This data, combined with falling vacancy numbers and rising redundancies, has dimmed expectations for a Bank of England interest rate cut this month.
European markets followed suit, with the CAC 40 and DAX 40 indices also experiencing losses.
Brent oil prices rose, while gold continued to fall. The dollar strengthened against the yen, while the pound and euro weakened against the dollar.
The US market was forecast to open lower.
**Overall, the market is experiencing a period of volatility, driven by economic concerns and the impact of the recent US election.**
First Piper 