European Shares Mixed After Tariff Threat
(RTTNews) - European stocks were mixed on Thursday as bargain hunters stepped in after a two-day rout on worries over slowing global growth.
The downside remained limited after the size and scope of the new U.S. tariffs in retaliation over EU aircraft subsidies were reduced considerably from a $25 billion list floated by Washington earlier this year. The tariffs excluded cognac, champagne and leather goods.
U.K. stocks were moving lower to extend losses for the fourth straight session after data showed the U.K. economy's dominant services sector shrank in September amid a deepening economic slowdown.
The pan European Stoxx 600 was down 0.1 percent at 377.21 after tumbling 2.7 percent in the previous session.
Markets in Germany remained closed for the Day of German Unity while France's CAC 40 index was up around 0.6 percent. The U.K.'s FTSE 100 was losing half a percent.
Airbus shares rallied 3.4 percent in Paris as the new U.S. list spared some Airbus parts.
Spirits group Remy Cointreau jumped 5 percent while Pernod Ricard climbed 3.4 percent.
Centamin shares slumped 11 percent in London. The gold miner announced that Andrew Pardey has informed the Board of his intention to retire as Chief Executive Officer.
Transport group Stagecoach declined 1.6 percent. The company said it will stop its share buyback program once it has reached £30m.
Diageo, the world largest spirits company, advanced 1.4 percent.
Swiss specialty chemicals company Sika rallied 3.2 percent after the company said it plans to grow by 6-8 percent a year up to 2023.
Swedish clothing retail firm H&M Group soared 6 percent after reporting a 12 percent increase in its third-quarter sales.
In economic releases, the euro area private sector expanded at the slowest pace in more than six years in September, final data from IHS Markit showed.
The final composite output index fell to 50.1 from 51.9 in August. The reading was below the flash estimate of 50.4.
Manufacturers logged the sharpest fall in output for nearly seven years in September. The service sector continued to expand, but the pace of growth was the weakest since the start of 2019. The services PMI came in at 51.6, down from 53.5 in the previous month.
Germany's composite PMI fell to an 83-month low of 48.5 from 51.7 a month ago. France's composite output index dropped to 50.8 from 52.9 in August.
Separately, Eurostat data showed that retail sales in the 19-nation bloc rose by an annual 2.1 percent in August versus 1.9 percent expected.