Major European Markets Close Higher

2024-10-05 2101
(fxcue news) - The major European markets closed higher higher on Monday as largely firm Asian markets and the recent upbeat jobs data from the U.S. helped keep investor sentiment fairly positive. Worries about rising tensions in the Middle East and caution ahead of some crucial economic data, including readings on U.S. consumer price inflation, limited markets' upside. According to reports, Israeli defense forces intensified air strikes targeting Gaza and the Lebanese capital of Beirut simultaneously on the first anniversary of Hamas' cross-border attack in Israel, which triggered the Middle East war. Dozens were killed in air strikes on a mosque and a now defunct school, which were converted as refugee relief shelters Sunday, according to Gaza's Hamas-run health ministry. The Israeli military says Hamas militants were hiding there. The pan European Stoxx 600 climbed 0.18%. The U.K.'s FTSE 100 gained 0.28% and France's CAC 40 closed up 0.46%, while the U.K.'s FTSE 100 edged down 0.09%. Switzerland's SMI crept up 0.1%. Among other markets in Europe, Austria, Denmark, Iceland, Netherlands, Portugal and Spain ended higher. Belgium, Finland, Greece, Norway, Russia and Turkiye closed weak, while Poland and Sweden ended flat. In the UK market, Natwest Group climbed nearly 3.5%. Shell and Convatec Group gained 2.35% and 2.1%, respectively. Standard Chartered, Barclays, Prudential, GSK, Mondia, BP, BT Group, Frasers Group, Coca-Cola HBC and Glencore gained 1 to 1.6%. Endeavour Mining tumbled 5.6%. Barratt Developments, Smith & Nephew, JD Sports Fashion, Vistry Group, Melrose Industries, Beazley, Hiscox, Haleon, Taylor Wimpey, Rentokil Initial, Croda International, Fresnillo, Persimmon, Howden Joinery, Land Securities Group, Halma and ICG lost 1.3 to 3.3%. In the German market, Commerzbank ended up more than 2%. Porsche, Deutsche Bank, HeidelbergCement, Siemens, Henkel, Mercedes-Benz and Deutsche Telekom also ended notably higher. Rheinmetall, Munich RE and Hannover Rueck closed down 2.6 to 2.8%. Continental, E.ON, Vonovia, Merck, Zalando and Fresenius lost 1 to 2%. In the French market, Kering moved up more than 4.5%. LVMH surged about 2.7%. Carrefour climbed nearly 2%. BNP Paribas, Orange, Credit Agricole, Societe Generale, Essilor, Hermes International, TotalEnergies and Stellantis gained 1 to 1.6%. Capgemini and Teleperformance both ended down by about 2.7%. Safran, Unibail Rodamco and Edenred also ended sharply lower. In economic news, Germany's factory orders declined at a faster-than-expected pace in August. Incoming new orders contracted 5.8% on a monthly basis in August, reversing July's upwardly revised 3.9% expansion. Orders were expected to fall 1.9%. Further, this was the steepest decline since January. Excluding large orders, new orders dropped 3.4% from July. UK house prices rose at the fastest annual rate in almost two years in September due to base effects. The house price index rose 4.7% year-on-year in September, faster than the 4.3% rise in August. Further, this was the steepest increase since November 2022. On a month-on-month basis, house prices rose at a stable rate of 0.3% in September. Euro area investor sentiment rose for the first time in four months in October, indicating a further attempt to emerge from recession amid rising expectations on the back of the of the ECB's rate cuts and China stimulus. The investor confidence index improved to -13.8 in October from -15.4 in September, survey results from the behavioral research institute Sentix showed Monday. Eurozone retail sales increased 0.2% on a monthly basis in August after remaining flat in the previous month, data from Eurostat showed. That was in line with expectations.
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