Stocks: Tuesday’s review

European stocks declined the most in two weeks as investors bet that the rally in the Stoxx Europe 600 Index to a 15-month high overshot the economic outlook and prospects for corporate earnings.

German investor confidence rose for the first time in five months in September, a report showed today.

The ZEW Center for European Economic Research in Mannheim said its index of investor and analyst expectations, which aims to predict economic developments six months in advance, climbed to minus 18.2 from minus 25.5 in August. Economists forecast a gain to minus 20.

National benchmark indexes fell in 15 of the 18 western European markets. Germany’s DAX slid 0.8 percent, while the U.K.’s FTSE 100 lost 0.4 percent. France’s CAC 40 dropped 1.2 percent.

Akzo Nobel dropped 5.5 percent to 46.16 euros, the biggest decline since September 2011. Buechner will take leave for one month to recuperate from fatigue on the advice of his doctor, Amsterdam-based Akzo said. He plans to return in the first half of October and Chief Financial Officer Keith Nichols will be the point-person in the interim period.

Aviva lost 4 percent to 344.9 pence. Deutsche Bank AG downgraded the stock to hold from buy and Bank of America Corp. cut its rating to underperform, the equivalent of sell, from neutral.

Against the background of remission of euphoria about the launch of a new round of quantitative easing, the U.S. stock indices, a tender without a trend.

The pressure on the index was lowering earnings forecast by FedEx (FDX), which provides mail, courier and other logistics services worldwide. The company lowered its earnings forecast for the full fiscal year to a range of $ 6.20-$ 6.60 per share. Average market forecast of $ 7.25.

Today, FedEx has published its financial report for the 1st quarter of the fiscal year, which ended Aug. 31. The company's profit for the period was $ 1.45 per share. The average market forecast was $ 1.40.

Earlier, on September 4 FedEx lowered its forecast for earnings for the 1st quarter to a range of $ 1.37-$ 1.43.

The financial results of FedEx perceived by market participants as a barometer of the economic situation, as delivery services used by companies in all sectors.

Decrease in futures constrained data released by the Ministry of Finance on the inflow of capital, which results in July were higher than forecast ($ 67.0 billion vs. $ 45.3 billion and the value of the June $ 9.3 billion).

In the composition of the index DOW components showed mixed performance. Leaders are stocks Kraft Foods (KFT, +1.83%). More than the others fell in the share price Alcoa (AA, -0.94%).

Key economic sectors also showed a mixed trend. More than other health sector increased (+0.4%). Stronger than the other fell into the price of the financial sector (-0.6%).

Office furniture manufacturer HNI sank 15.1% after management reported that third-quarter adjusted earnings will be less than the previous forecast of its own by a decline in demand for products.

Quotes manufacturer of slot machines WMS Industries fell by 6.7% on a downgrade by analysts shares Deutsche Bank, which referred to the aggressive use of credit and the increasing dependence on non-core activities.