{"id":28748,"date":"2022-12-05T17:49:11","date_gmt":"2022-12-05T17:49:11","guid":{"rendered":"https:\/\/www.pantheregroup.com\/2022\/12\/05\/european-stocks-close-on-weak-note-on-growth-worries\/"},"modified":"2022-12-05T17:49:11","modified_gmt":"2022-12-05T17:49:11","slug":"european-stocks-close-on-weak-note-on-growth-worries","status":"publish","type":"post","link":"https:\/\/www.pantheregroup.com\/2022\/12\/05\/european-stocks-close-on-weak-note-on-growth-worries\/","title":{"rendered":"European Stocks Close On Weak Note On Growth Worries"},"content":{"rendered":"
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European stocks closed broadly lower on Monday with investors turning cautious after data showed the euro zone economy<\/span> is slipping into a recession.<\/p>\n

Investors also reacted to news about the Chinese government’s decision to relax some Covid restrictions. Uncertainty about the outlook for U.S. interest rates following last week’s strong non-farm payrolls data also contributed to the weak sentiment.<\/p>\n

The pan European Stoxx 600 drifted down 0.41%. Germany’s DAX dropped 0.56% and France’s CAC 40 fell 0.67%, while the U.K.’s FTSE 100 advanced 0.15%. Switzerland’s SMI edged down 0.03%.<\/p>\n

Among other markets<\/span> in Europe, Belgium, Ireland, Netherlands and Turkiye closed weak.<\/p>\n

Austria, Czech Republic, Denmark, Iceland, Norway, Poland, Portugal and Sweden ended higher, while Finland, Greece and Spain settled flat.<\/p>\n

In the UK market, Entain, Hargreaves Lansdown, M&G, Burberry Group, WPP, Sage Group, Persimmon, Pearson, Halma, Kingfisher, Ocado Group and Melrose Industries lost 1 to 2.5%.<\/p>\n

Prudential rallied 5.3%. Rio Tinto, Anglo American Plc, Frasers Group and Compass Group gained 1 to 1.6%.<\/p>\n

Glencore shares moved higher after the company entered into a $180 million corruption settlement with DRC.<\/p>\n

In Paris, Teleperformance, Orange, Bouygues, Capgemini, WorldLine, Kering and Dassault Systemes lost 2 to 3.1%.<\/p>\n

Publicis Groupe, Essiolor, Danone, Pernod Ricard, Michelin and Societe Generale also ended notably lower.<\/p>\n

Renault climbed 1.6%. Alstom gained about 1%, while Unibail Rodamco and Saint Gobain posted modest gains.<\/p>\n

In the German market, Bayer declined nearly 3%. Symrise, Deutsche Boerse, Covestro, Qiagen, Adidas, Sartorius, BASF, Fresenius and Henkel ended lower by 1 to 2.3%.<\/p>\n

Volkswagen surged 1.6%. Deutsche Bank, Porsche Automobil, BMW and Munich RE gained 0.8 to 1.2%.<\/p>\n

In economic news, the S&P Global Eurozone Composite PMI was confirmed at 47.8 in November of 2022, pointing to a fifth straight month of falling private sector activity and the second-sharpest since May 2013, excluding months hit by COVID-19 restrictions.<\/p>\n

The S&P Global Eurozone Services PMI came in at 48.5 in November 2022, little-changed from 48.6 recorded in both the preliminary estimate and October’s final reading. The figure signaled a fourth straight month of falling output levels across the service sector.<\/p>\n

The UK service sector registered a moderate contraction in November as economic uncertainty and the cost of living crisis dampened discretionary spending, which in turn hurt demand, final survey data from S&P Global showed.<\/p>\n

Elsewhere, the Confederation of British Industry cautioned that the UK will see a lost decade if no action is taken. With rocketing inflation and negative growth, Britain is in stagflation, the lobby observed.<\/p>\n

The Chartered Institute of Procurement and Supply final headline services Purchasing Managers’ Index posted 48.8 in November, in line with flash estimate.<\/p>\n

The score was unchanged since October, when the index dropped to its lowest since January 2021.<\/p>\n

Data released by Eurostat showed Eurozone retail sales logged its biggest decline so far this year in October on weaker food and non-food products turnover as record inflation squeezed consumer spending.<\/p>\n

Retail sales slid 1.8% month-on-month in October, in contrast to the 0.8% increase in September. This was slightly bigger than economists’ forecast of -1.7%.<\/p>\n

Euro area investor sentiment rose for a second month in a row to its highest level since June. The investor confidence index climbed sharply to -21.0 from -30.9 in November, the think tank said. Economists had forecast a modest improvement in the reading to -27.6. <\/p>\n<\/p>\n<\/div>\n