Why Did CRH Plunge 6.51%? FTSE Exclusion, Trade War Fears

On April 4, 2025, CRH experienced a significant drop of 6.51% in pre-market trading, reflecting a notable decline in investor sentiment towards the company.

One of the key factors contributing to the decline in CRH's stock price is its recent exclusion from the FTSE All-World Index. This move, which occurred on March 24, 2025, has led to a 3% drop in the company's shares, indicating that investors are reassessing their positions in light of this change.

Additionally, the broader market sentiment has been influenced by global economic concerns, particularly the threat of a global recession. The announcement of sweeping tariffs by US President Donald Trump has sparked fears of an all-out trade war, leading to steep losses across European and Asian markets. This uncertainty has likely contributed to the sell-off in CRH's stock, as investors seek to mitigate risks in their portfolios.

Furthermore, the acquisition of CRH catering by Sodexo on January 1, 2025, has also been a significant development for the company. While this acquisition may have strategic benefits, it could also introduce operational challenges that impact CRH's financial performance and, consequently, its stock price.