European Stocks Close Notably Lower As Growth Worries Rate Concerns Weigh

RTTNews | Před 602 dny
European Stocks Close Notably Lower As Growth Worries Rate Concerns Weigh

(RTTNews) - European stocks closed notably lower on Friday as concerns about interest rates, inflation and geopolitical tensions outweighed stronger than expected earnings updates from some major U.S. lenders.

Higher producer price and consumer price inflation readings from the U.S. have raised concerns the Federal Reserve will continue to keep interest rates higher for longer.

Comments from Bank of England Governor Andrew Bailey that future rate decisions by the central bank would continue to be tight weighed as well.

Major U.S. banks JP Morgan Chase, Wells Fargo and Citigroup all reported stronger than expected third quarter earnings.

The pan European Stoxx 600 declined 0.98%. The U.K.'s FTSE 100 ended down 0.59%, Germany's DAX drifted down 1.55% and France's CAC shed 1.42%, while Switzerland's SMI lost 0.72%.

Among other markets in Europe, Austria, Belgium, Finland, Greece, Netherlands, Portugal, Spain, Sweden and Turkiye closed weak.

Denmark, Iceland, Norway, Poland and Russia ended higher.

Eurozone industrial production recovered in August driven by the rebound in capital goods and durable consumer goods output, Eurostat said on Friday.

Industrial output grew by more-than-expected 0.6% on a monthly basis in August, in contrast to the 1.3% decrease in the previous month. Output was forecast to rise 0.1%.

On a yearly basis, the decline in industrial production deepened to 5.1% from 2.2% in July. This was worse than economists' forecast of 3.5% decrease.

In the UK market, St. James's Place shares plunged 21% on reports it is under pressure from regulators to overhaul its fee structure.

JD Sports Fashion, Spirax-Sarco Engineering, Just Eat Takeaway.com, Hargreaves Lansdown, ITV, Easyjet and British American Tobacco lost 3.5 to 4.8%.

ICP, Schrodders, Prudential, Hiscox, M&G, IAG, Whitbread, Informa, Persimmon, Halma and Scottish Mortgage declined 2 to 3%.

Fresnillo rallied about 4.5%. BP gained 2.1%, while United Utilities, National Grid, Royal Dutch Shell, Severn Trent and BAE Systems advanced 1 to 1.75%.

In the German market, Sartorius tumbled 13.3% after reporting a decline in sales for the first nine months of 2023 and cutting its FY23 outlook.

Puma, Siemens Energy, Merck, Qiagen, Infineon, SAP, Siemens and Commerzbank lost 2 to 3.5%. Continental, Allianz, Bayer, Deutsche Bank, Adidas and Mercedes-Benz ended lower by 1.3 to 1.8%.

In Paris, WorldLine, Eurofins Scientific, Alstom, BNP Paribas, Airbus Group, STMicroElectronics, Societe Generale, Legrand, Renault, Kering, Capgemini, Credit Agricole, Michelin and LVMH lost 2 to 4.3%.

TotalEnergies climbed 1.6%. Thales, Orange and Engie posted moderate gains.

read more
U.S. Job Growth Slightly Exceeds Estimates In May

U.S. Job Growth Slightly Exceeds Estimates In May

Employment in the U.S. increased by slightly more than expected in the month of May, according to a report released by the Labor Department on Friday. The Labor Department said non-farm payroll employment shot up by 139,000 jobs in May after jumping by a downwardly revised 147,000 jobs in April.
RTTNews | Před 1 h 58 min
Bay Street May Open Slightly Higher; U.S., Canadian Jobs Data In Focus

Bay Street May Open Slightly Higher; U.S., Canadian Jobs Data In Focus

Higher Canadian and U.S. futures point to a slightly positive start on Bay Street Friday morning. The focus is on the crucial jobs data from Canada as well as the U.S. Lingering concerns about trade tensions may weigh on sentiment and limit market's upside.
RTTNews | Před 3 h 20 min
Eurozone GDP Growth Accelerates To 0.6%

Eurozone GDP Growth Accelerates To 0.6%

The euro area economic growth doubled in the first quarter on household spending, investment and exports, official data revealed on Friday. Gross domestic product logged a quarterly growth of 0.6 percent in the first quarter, which was faster than the initial estimate of 0.3 percent, Eurostat said. This followed a 0.3 percent rise in the fourth quarter of 2024.
RTTNews | Před 5 h 8 min
India Slashes Policy Rates By Bigger Than Expected 50 Bps; Shifts Stance To Neutral

India Slashes Policy Rates By Bigger Than Expected 50 Bps; Shifts Stance To Neutral

The Reserve Bank of India lowered its interest rates by a sharper-than-expected 50 basis points on Friday, marking the third consecutive reduction as policymakers focused on propelling growth amid the softening inflation, but the central bank shifted its monetary policy stance to neutral signaling a pause ahead. The MPC decided to cut the policy repo rate by 50 basis points to 5.50 percent.
RTTNews | Před 5 h 20 min
Sensex, Nifty Rally As RBI Surprises With Jumbo Rate Cut

Sensex, Nifty Rally As RBI Surprises With Jumbo Rate Cut

Indian shares rallied on Friday as the Reserve Bank of India (RBI) surprised the market with a 50 basis points (bps) cut in the benchmark repo rate to 5.5 percent, slashed the cash reserve ratio (CRR) by 100 basis points to 3 percent, and also trimmed its inflation forecast for the year by 30 basis points to 3.7 percent.
RTTNews | Před 5 h 23 min
U.K. Stocks Subdued As Investors Look For Directional Clues

U.K. Stocks Subdued As Investors Look For Directional Clues

U.K. stocks are largely subdued Friday morning with investors looking for directional clues and refraining from making significant moves. The focus is on the progress of trade negotiations between U.S. and China, and the upcoming U.S. non-farm payrolls data.
RTTNews | Před 5 h 29 min
CAC 40 Down Slightly In Lackluster Trade

CAC 40 Down Slightly In Lackluster Trade

French stocks are down slightly in negative territory Friday morning, as disappointing industrial production data, and trade tensions weigh on sentiment. Investors are also looking ahead to the release of U.S. non-farm payrolls report, due later in the day.
RTTNews | Před 5 h 58 min