Investors evaluate the reporting of large companies and macroeconomic statistics.
The composite index of the largest companies in the region Stoxx Europe 600 by 11:07 a.m. CST fell by 0.77% and amounted to 407.03 points. Since the beginning of the week, the indicator has risen by about 2%, the highest rate since the end of July, writes Trading Economics.
The British stock index FTSE 100 fell by 0.82%, the German DAX – by 0.92%, the French CAC 40 – by 0.59%. The Italian FTSE MIB and the Spanish IBEX 35 lost 1.1% and 0.8% respectively.
The German economy in the third quarter grew by 0.3% compared with the previous three months and by 1.2% in annual terms. Analysts on average expected the first indicator to decrease by 0.2% and the second to increase by 0.8%.
French GDP in July-September increased by 0.2% qoq and 1.2% y/y, which coincided with market expectations.
Meanwhile, consumer prices in France, harmonized with European Union standards, jumped 7.1% year-on-year in October after rising 6.2% in September, according to preliminary data. Analysts polled by Trading Economics expected, on average, a much more moderate acceleration of inflation – up to 6.4%.
The Spanish economy grew 0.2% qoq and 3.8% yoy last quarter. Analysts polled by The Wall Street Journal expected growth of 0.3% and 4%, respectively.
Meanwhile, Spain’s October inflation stood at 7.3% year-on-year, falling to its lowest level since January from 9% in September, preliminary data showed. Growth was much weaker than the 8.4% rise expected by analysts.
Airbus SE shares are down 0.3%. The European Aerospace Corporation in the third quarter increased its net profit by 65%, earnings before taxes and interest payments (EBIT) – by 37%, revenue – by 27%.
Airbus confirmed its forecast that it expects to deliver about 700 aircraft to customers this year. Adjusted EBIT for 2022 is expected to be around EUR 5.5 billion.
Porsche AG is down 2.9%, although the German luxury car maker reported strong growth in operating profit and revenue in the first nine months of this year.
Capitalization of NatWest Group Plc falls by 8.5%, being the leader of the decline in the Stoxx Europe 600 index. The British bank (formerly the Royal Bank of Scotland) increased pre-tax profit in the third quarter to 1.09 billion pounds ($1.26 billion) from 976 million pounds for the same period a year earlier, but the figure was worse than the consensus forecast of 1.24 billion pounds.
The leading gainer among Stoxx 600 components was shares of Austrian oil and gas group OMV, which jumped 7.6%. The company recorded operating profit in July-September of 3.5 billion euros, which was 9% higher than the consensus forecast, and announced its intention to pay a special dividend of 2.25 euros per share.
