Dutch medical equipment maker Philips PHG.AS tumbled 10.2% on a worse-than-expected drop in second-quarter core earnings, citing supply shortages and lockdowns in China. O/R Germany's Ifo institute showed high energy prices and the threat of gas shortages weighed on business sentiment in Europe's largest economy in July. The STOXX 600 has lost almost 13% this year as investors worry that aggressive monetary policy tightening to help tame surging inflation and the fallout from the Ukraine conflict could pressure economic growth.