European stocks rise amid China fears, Volkswagen up 4% – CNBC
German carmaker Volkswagen continued to dominate market talk after shares tanked at the start of the week, following news that the carmaker had falsified emission tests, with VW saying 11 million cars could be affected. Shares in the carmaker bounced back on Wednesday, trading as high as 8 percent, as bargain hunters flocked to the stock.
Chief executive Martin Winterkorn succumbed to increasing pressure on Wednesday, announcing his resignation near the end of Europe’s trade. On the back of this news, shares in the automaker pared sharply, finishing trade up 5.2 percent, down from highs seen earlier in the session.
“The process of clarification and transparency must continue. This is the only way to win back trust. I am convinced that the Volkswagen Group and its team will overcome this grave crisis,” Winterkorn said on Wednesday.
The board has yet to announce a successor to 68-year-old Winterkorn. However, rumors earlier suggested he might be replaced by Porsche CEO and President Matthias Muller, although Volkswagen has denied this.