Share

European shares hit by weak eurozone data

Edinburgh - European shares fell on Thursday, with top eurozone shares extending an early dip after weak manufacturing data in the region's top two economies reignited fears over growth prospects.

The eurozone's EuroSTOXX 50 fell 0.7% after both French and German purchasing manager's index data missed expectations in the manufacturing sector.

France's CAC fell 0.7%, with Germany's DAX down 0.5%.

Eurozone PMIs confirmed the grim picture for the region, coming in weaker than any forecaster expected this month.

The data comes after German analyst and investor sentiment rose for the first time in almost a year earlier this week, and might dash hopes of an improvement in Europe's biggest economy after it dodged recession in the third quarter.

"It's disappointing, especially after the ZEW economic sentiment figures were much stronger than markets had been expecting," Alastair McCaig, market analyst at IG, said.

"The data is not backing up sentiment in the eurozone."

French blue-chips underperformed German stocks even though services sector data came in slightly better than expected, hindered by a slump in Technip.

It fell 5.4% after the oil and gas engineer said it had bid for CGG. CGG, which is outside the blue-chip CAC, rose 25%, saying that the conditions to pursue the Technip offer had not been met.

While services sector data missed expectations, German stocks were supported by ThyssenKrupp, after Germany's biggest steelmaker said it will resume paying dividends a year earlier than expected as it reported its first net profit in four years.

It was up 1.1%, having halved gains following the disappointing PMI data.

Although the ThyssenKrupp statement expressed confidence that a tough turnaround was already bearing fruit, the company's profit actually came in slightly below expectations.

The pan-European FTSEurofirst 300 was down 0.4% to 1 354.21 by 11:04. Britain's FTSE 100 was down 0.4%.

The FTSEurofirst 300 has spent the whole of November in a tight range of just over 40 points.

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.80
+1.1%
Rand - Pound
23.49
+1.3%
Rand - Euro
20.10
+1.5%
Rand - Aus dollar
12.28
+1.0%
Rand - Yen
0.12
+2.8%
Platinum
923.40
-0.2%
Palladium
957.50
-3.3%
Gold
2,336.75
+0.2%
Silver
27.20
-0.9%
Brent Crude
89.01
+1.1%
Top 40
69,358
+1.3%
All Share
75,371
+1.4%
Resource 10
62,363
+0.4%
Industrial 25
103,903
+1.3%
Financial 15
16,161
+2.2%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders