Markets

European Stocks Mixed after Modest Eurozone Growth

European equities presented a mixed picture on the penultimate trading day of the week with two out of three benchmark indices trading lower even after the Eurozone Purchasing Manufacturing Index (PMI) presented modest growth during Q3.

MarkitEconomics' final Eurozone Manufacturing PMI stood at 52.0 in September, down from 52.3 in August, representing a five-month low.

Production in manufacturing rose for the 27th successive month in September, as companies scaled up output in response to rising new order inflows and a further accumulation of backlogs of work. However, the rates of increase in production and new business were both a notch lower than in the prior month, the survey showed.

Meanwhile, in China, the world's second largest economy, news reports showed a difference between the Chinese government's official manufacturing PMI data and the separate Caixin China General Manufacturing PMI survey.

News agencies cited the Chinese government's manufacturing PMI as rising to 49.8 in September from 49.7 in August while the separate Caixin survey of manufacturing PMI registered 47.2 in September, down fractionally from 47.3 in August.

The slight difference between readings didn't harm European commodities stocks though with miners and oil producers among the biggest gainers on London's FTSE 100 Index.

Oil and gas production companies BP, Royal Dutch Shell B Shares and A Shares rose by 2.6%, 2.3% and 1.8%, respectively, while mining companies BHP Billiton, Randgold Resources and Fresnillo were 2.4%, 1.9% and 2.1% higher, respectively.

On Frankfurt's DAX, car maker Volkswagen slid by 1.3%, financial services company Allianz fell by 1.4%, software giant SAP slid by 1.4% while pharmaceutical company Bayer fell by 1.6%

And, on Paris' CAC-40, maker of products and systems for electrical installations and information networks Legrand fell by 1.1%, network infrastructure company Alcatel-Lucent slipped by 1.3% and Scheider Electric, which specializes in electricity distribution, automation management, fell by 1.3%

The FTSE 100 closed 0.18% higher, the DAX closed down 1.57% and the CAC-40 ended lower 0.65%.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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