European markets dip at open; UK GDP up slightly
European markets opened lower on Friday, as investors assessed the latest economic data and the future path to cut interest rates following hawkish comments from US Federal Reserve Chairman Jerome Powell.
The pan-European Stoxx 600 fell 0.8% in early trade, with all major bourses and nearly all sectors in the red.
Healthcare stocks fell 1.72%, tracking a broader decline for global vaccine makers, as investors weighed President-elect Donald Trump’s choice of Robert F. Kennedy Jr. to lead the Department of Health and Human Services.
Technology stocks also fell 1.36%, while utilities were the lone outlier, rising 0.06%.
On Friday, investors digested the latest UK GDP data for insight into the state of the British economy — the first reading since the Labour government’s budget announcement in October.
Gross domestic product rose 0.1% in the three months to September compared with the previous quarter. That was below the 0.2% growth expected by economists polled by Reuters and followed a 0.5% expansion in the second quarter of the year.
British Finance Minister Rachel Reeves said on Friday she was “not satisfied” with the figures.
Earnings reports came from Aegon, Experian, Cepsa and others.
Across the Atlantic, Powell said in a speech on Thursday that strong U.S. economic growth was allowing policymakers to take their time in deciding how far and how quickly to cut interest rates.
U.S. stock futures were slightly lower overnight as Wall Street continued to assess post-election sentiment and future paths. Meanwhile, Asian markets were mixed during Friday’s session.
European markets opened lower on Friday, as investors assessed fresh economic data and the future path to cut interest rates following hawkish comments from U.S. Federal Reserve Chairman Jerome Powell.
Source: CNBC
