STOCKHOLM (AFX) - Shares extended their losses in early afternoon trade on indications that Wall Street will resume selling this afternoon on continued concerns over US interest rates, brokers said.
At 12.50 pm, the OMX Stockholm index was down 1.01 pct at 294.89 and the OMX Stockholm 30 down 1.07 pct at 911.05. Turnover was 8.616 bln skr.
Wall Street fell overnight after Atlanta Federal Reserve Bank President Jack Guynn reiterated his tough stance on inflation, prompting fears of a further tightening of US monetary policy.
The Swedish Riksbank hiked its repo rate by 25 basis points to 2.25 pct this morning and warned of more hikes to come.
Among the main sub-indices, Materials were down 1.46 pct, Industrials down 1.33 pct, Financials down 0.89 pct and Information Technology down 1.23 pct but Healthcare up 1.09 pct.
The healthcare sector was given a fillip by news that General Electric Co unit GE Healthcare has made a 330 skr per share recommended cash offer for Swedish biotech company Biacore International AB.
The offer amounts to around 3.22 bln skr, and is unanimously backed by Biacore's board.
Biacore was up 18.73 pct at 326.50.
Other potential small cap healthcare acquisition targets were also gaining with Getinge B up 1.26 pct at 120.50 and Elekta B up 1.22 pct at 124.50.
Elsewhere the market was largely negative, with 77 stocks higher, 174 lower and 52 unchanged.
Ericsson B was down 0.88 pct at 22.60 and Nokia down 1.67 pct at 147.
Among the telecom operators, TeliaSonera was down 2.56 pct at 38 and Tele2 B flat at 71.75.
Among other shares traded, Boliden was down 3.88 pct at 111.50, Hennes & Mauritz B down 0.77 pct at 258.50, Volvo B down 1.73 pct at 340.50, Nordea down 0.30 pct at 83.50 and Electrolux B down 0.98 pct at 101.50. stockholm@afxnews.com sjr/jsa COPYRIGHT Copyright AFX News Limited 2005. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
© 2006 AFX News
