European stock markets closed lower this Friday (24) reacting to the contraction of the Gross Domestic Product (GDP) of Germany in the fourth quarter.
Stock exchanges passed the trading session in decline and increased losses after data from the consumer spending price index (PCE, its acronym in English) from the United States.
In London, the FTSE 100 fell 0.37% to 7,878.66 points. The CAC 40, in Paris, dropped 1.78%, to 7,187.27 points, and the FTSE MIB, in Milan, closed down 1.07%, to 26,986.35 points. J
In Madrid, the Ibex 35 index fell 0.11% to 7878.66 points. Finally, on the Lisbon Stock Exchange, the PSI 20 rose 0.05% to 5,984.49 points. Quotes are preliminary.
The DAX index, in Frankfurt, closed down 1.72%, at 15,209.74 points, pressured by Germany’s confirmation that its Gross Domestic Product (GDP) contracted in the fourth quarter of 2022, with a revision indicating a drop greater than the original estimate.
For Oxford Economics, the results already signal a technical recession in the country in the first quarter of 2023.
Also on Germany, a survey by the German institute GFK pointed out that the consumer confidence index in the largest European economy should rise to -30.5 points in March, even lower than the forecast of the The Wall Street Journalwhich expected a greater increase in the indicator.
Stock markets also lost steam after the publication of US PCE inflation data, which came in above market expectations, leading to risk aversion for Wall Street.
The drop also occurred despite positive balance sheets from local companies. In Paris, Saint-Gobain was up nearly 5%, after reporting on Thursday a record annual revenue, above expectations.
In London, Rolls-Royce maintained the upward trend, having risen more than 2.5%, still in reaction to the latest balance sheet and a strategic review plan by the automaker.
Already the shares of Elekta, in Stockholm, the high was more than 10%, following the quarterly report above the expectations of the manufacturer.
On the other hand, BASF shares plunged almost 7% in Frankfurt, on the news that the German giant would stop buybacks of its shares and that it would cut 2,600 jobs.
Source: CNN Brasil
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