European stocks ended Friday’s session slightly weaker, but managed to eke out a gain for the week, amid global growth jitters, a hawkish Federal Reserve and earnings disappointments in some big corporations.
What are markets doing?
The Stoxx Europe 600
slipped 0.4% to close at 365.74, after Thursday’s modest gain. For the week, the index gained 0.5%.
Germany’s DAX 30
ended the day little changed in positive territory at 11,529.16, while France’s CAC 40
dropped 0.5% to close at 5,106.75. The U.K.’s FTSE 100
finished 0.5% lower at 7,105.34.
Italy’s FTSE MIB Italy index
closed 0.8% lower at 19,258.11.
slipped to $1.1335 from $1.1365 late Thursday in New York,
The British pound
slid to $1.2964 from $1.3061.
What is driving the market?
Global equities took a hit from Thursday’s Federal Reserve outcome, which saw no change in key rates, but investors were rattled by a perceived hawkish tone by the central bank. The news kept investors from cheering upbeat U.K. growth data, with London stocks bogged down by worries about China growth.
Read: FTSE 100 under pressure as resource stocks, banks slide
Italy crept back as a worry for Europe, after the European Commission on Thursday warned that it was concerned about the country’s debt situation, and that there was “no future” for the country outside of the common currency.
Shares of Thyssenkrupp AG
closed 4% lower after the steel-and-technology group issued its second profit warning since July.
Telecom Italia SpA
ended the day 4.8% down after the Italian company reported a third-quarter loss late Thursday, owing to a write-down.
tumbled 5.9% into the close after Spain’s banking giant fell following a proposal by Mexico’s parliament to cut banking fees. Following the European close, Mexican President-elect Andrés Manuel López Obrador walked back promises of banking regulation.
Heavily weighed energy stocks fell alongside crude oil prices—U.S. crude fell into a bear market on Thursday. Royal Dutch Shell Group PLC
ended 0.2% lower, while BP PLC
finished down 1%.
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