Major European Markets Turning In Mixed Performance As Investors React To Regional Data
2024-11-22
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(fxcue news) - The major European markets are turning in a mixed performance on Friday with investors reacting to regional economic data and corporate news, in addition to following developments on the geopolitical front.
Bank stocks are mostly down with notable losses, while real estate and retail stocks are finding support.
Data showing an increase in consumer confidence is aiding sentiment in the UK market, where the benchmark FTSE 100 is gaining nearly 0.8%. The GfK Consumer Confidence Index in the United Kingdom increased by 3 points to -18 in November 2024, marking its first improvement in three months.
Germany's DAX is down marginally, while France's CAC 40 is down 0.16%. Switzerland's SMI is rising 0.71%, and the pan European Stoxx 600 is up 0.5%.
In the UK market, B&M European Value Retail is rising more than 4.5%. Diploma, Barratt Redrow, Vistry Group, J Sainsbury, National Grid, Endeavour Mining and Spirax-Sarco Engineering are up 3 to 4%.
Persimmon, United Utilities, Land Securities, British Land Company, BT, Croda International, Berkeley Group Holdings, Hikma, AstraZeneca, Marks & Spencer, Taylor Wimpey, Hiscox, Severn Trent, Mondi, Sage Group, Experian and Reckitt Benckiser are gaining 2 to 3%.
Games Workshop Group Plc shares are zooming nearly 17% on hopes the company's strong results will help get the stock into the FTSE 100 index.
Barclays, Standard Chartered, Natwest Group and Lloyds Banking Group are down 2 to 3.5%. HSBC Holdings is down nearly 1%.
In the German market, Brenntag, Sartorius and Vonovia are up 5%, 4.1% and 3.7%, respectively. Zalando, E.ON, Rheinmetall, Symrise, Qiagen and Fresenius Medical Care are gaining 1.5 to 3.2%.
Deutsche Bank and Commerzbank are declining 3.7% and 2.8%, respectively. Puma is down 3.3% and Daimler Truck Holding is lower by about 1.1%.
In the French market, Eurofins Scientific, Unibail Rodamco, Publicis Groupe, Teleperformance, Sanofi and Orange are up 1 to 2%.
STMicroElectronics is notably higher after the company announced a partnership with Chinese chipmaker Hua Hong.
Thales is down more than 6.5%, weighed down by reports that the UK's Serious Fraud Office has opened an investigation into the company over alleged bribery and corruption
Edenred, AXA and Airbus are lower by 1 to 1.6%.
BNP Paribas, Credit Agricole and Societe Generale are down 2.5 to 3%.
In economic news, the UK private sector activity deteriorated for the first time in just over a year in November as growth in new business eased amid weak business confidence, flash survey results published by S&P Global revealed. The flash composite output index dropped to 49.9 in November from 51.8 in October.
UK retail sales dropped 0.7% on a monthly basis in October, in contrast to the revised 0.1% rise in September, data from the Office for National Statistics showed. Sales were expected to fall 0.3%.
The German economy grew marginally in the third quarter after a contraction, with the GDP recording a sequential growth of 0.1%, revised data from Destatis showed. The rate was downgraded from 0.2% estimated on October 30.
Germany's private sector continued to contract in November as sustained weakness in manufacturing output was compounded by the first fall in services activity for nine months, flash Purchasing Managers' survey compiled by S&P Global showed.
The HCOB composite output index dropped to 47.3 in November from 48.6 in the previous month. The score signaled acceleration in the rate of decline in activity to the quickest since February.
Services business activity fell into contraction for the first time in nine months in November. The services PMI registered 49.4, down from 51.6 in the previous month. The expected score was 51.8. Meanwhile, the manufacturing PMI advanced to a four-month high of 43.2 from 43.0 in the previous month. The reading was slightly above forecast of 43.1.
France's private sector contracted the most since January as prolonged weakness in demand damped expectations, flash survey results from S&P Global showed. The flash HCOB composite output index fell markedly to 44.8 in November from 48.1 in October.
The services Purchasing Managers' Index dropped more-than-expected to 45.7 from 49.2 in the previous month. The score was seen at 49.0. The factory PMI posted 43.2, which was down from 44.5 in October. The indicator was expected to edge up to 44.6.
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