European Stocks Close Lower On Weak Economic Data, Valuations Concerns

(RTTNews) - European stocks closed lower on Friday amid renewed concerns about lofty tech valuations and a batch of weak regional economic data.

Comments from a senior Fed official reviving hopes for monetary easing helped limit the downside in some of the markets in the region.

The pan European Stoxx 600 ended 0.33% down. Germany's DAX closed down by 0.8%, while the U.K.'s FTSE and France's CAC 40 edged up 0.13% and 0.02%, respectively.

Among other markets in Europe, Czech Republic, Denmark, Finland, Iceland, Netherlands, Norway, Poland, Portugal, Spain, Sweden and Turkiye closed weak.

Belgium, Greece, Ireland and Russia ended higher.

In the UK market, Melrose Industries, JD Sports Fashion, Polar Capital Technology Trust, Rolls-Royce Holdings and Scottish Mortgage lost 3 to 6.1%.

Antofagasta, Pershing Square Holdings, BAE Systems, Halma, Fresnillo, The Sage Group, Endeavour Mining and F&C Investment Trust were among the other major losers.

Persimmon climbed 4.75%. Diageo, Barratt Redrow, Experian and LSEG gained 3.2 to 4%. Games Workshop, Relx, Coca-Cola HBC, Unilever, Berkeley Group Holdings and Whitbread also posted strong gains.

In the German market, Siemens Energy tumbled nearly 10%. Rheinmetall plunged nearly 8%.

Infineon and Heidelberg Materials ended lower by 3.7% and 3.3%, respectively. RWE, Zalando, Deutsche Bank and MTU Aero Engines also ended notably lower.

Deutsche Boerse, Symrise, Qiagen, BASF, Bayer, Beiersdorf, Brenntag, Deutsche Telekom, Fresenius Medical Care, Continental, Henkel, Daimler Truck Holding and Volkswagen gained 1 to 4.2%.

In the French market, Safran, Schneider Electric, Thales, ArcelorMittal and Legrand lost 2 to 4%. Societe Generale, EssilorLuxottica and STMicroElectronics also ended sharply lower.

Pernod Ricard surged nearly 4%. Capgemini gained about 3.5%, while Stellantis, L'Oreal, Publicis Groupe, Michelin, Vinci, Edenred and Orange climbed 2 to 3%.

Data from the Office for National Statistics showed UK retail sales declined for the first time in five months in October as consumers delayed their spending in the lead up to Black Friday.

Retail sales fell 1.1% on a monthly basis in October, in contrast to the 0.7% increase in September. This was the first fall in five months and worse than economists' forecast of 0.1% drop.

British consumer confidence deteriorated in November ahead of the upcoming autumn budget, a private survey revealed.

The consumer sentiment index dropped two points to -19 in November, a survey jointly published by GfK and the Nuremberg Institute for Market Decisions showed Friday.

"This is a bleak set of results as we head towards next week's Budget," said Neil Bellamy, Consumer Insights Director at GfK.

"A fall across all five measures suggests the public is bracing for difficult news, with little in the current climate to lift expectations," Bellamy added.

Data from S&P Global showed the S&P Global UK Composite PMI fell to 50.5 in November of 2025 from 52.2 in the previous month, firmly below market expectations of 51.8 to reflect a sharp slowdown in economic activity of the British private sector.

The services sector PMI dropped to 50.5 in November from 52.3 a month earlier, while the manufacturing PMI rose to 50.2 in November from 49.2 in the previous month.

Flash purchasing managers' survey results from S&P Global showed Germany's private sector growth softened in November with slower increases in both services and manufacturing.

The composite output index slid more-than-expected to 52.1 in November from a 29-month high of 53.9 a month ago. The result reflected slower rates of growth in both manufacturing and services.

The survey showed that factory production logged its weakest growth since July. Similarly, services activity growth slowed in November.

The services Purchasing Managers' Index logged 52.7 in November, down from 54.6 in the previous month. The expected score was 54.0.

The manufacturing PMI hit a six-month low of 48.4 in November compared to 49.6 a month ago. The score was forecast to rise to 49.8.

"These figures are a major setback for Germany," Hamburg Commercial Bank Chief Economist Cyrus de la Rubia said.

"Overall, the German economy is limping towards marginal growth at best in the fourth quarter" he added.

France's private sector economy broadly stabilized in November driven by a fresh rise in services activity, flash survey results from S&P Global revealed.

The HCOB composite output index rose more-than-expected to a 15-month high of 49.9 in November from 47.7 in October. The reading was seen at 48.1.

The service sector registered its first expansion in activity in 15 months, with the PMI score coming in a t 50.8 in November, up from 48.0 a month earlier. Meanwhile, the factory PMI dropped unexpectedly to 47.8 from 48.8 in the prior month. The score was forecast to rise to 49.0.

Data from the statistical office INSEE showed French manufacturing confidence weakened in November after strengthening in the previous month.

The manufacturing confidence index dropped to 98.0 in November from 100.9 in October, which was the highest since March 2024. The reading was forecast to drop to 100.