Investing.com – European shares closed mixed Wednesday as weak U.S. payroll numbers combine with high euro zone unemployment creating bearish equity sentiment
At the close of European trade, the EURO STOXX 50 closed down 0.71%, France's CAC 40 traded higher by 0.42% and Germany’s DAX dropped 0.75%. Meanwhile, in the U.K. the FTSE 100 plunged 0.93%.
Igniting the risk off trade, U.S. payroll processing firm ADP reported non-farm employment increased by 119,000 in April, missing forecasts, after a 201,000 rise the previous month. Economists expected non-farm employment to rise by 178,000 in April.
In additional bearish news Wednesday, a government report indicated that factory orders in the U.S. declined 1.5% in March, in line with expectations and following a 1.1% rise the previous month.
Single currency sentiment weakened after final euro zone manufacturing data for April came in weaker-than-expected, with the manufacturing purchasing managers’ index slumping to a 34-month low of 45.9 in April, down from 47.7 in March and below the preliminary estimate of 46.0.
German manufacturing output dropped at the fastest rate since July 2009, with its manufacturing PMI tumbling to 46.2, from 48.4 in March, while a separate report showed that the German unemployment rate also increased last month.
Another economic report signaled that the unemployment rate in the euro zone climbed to a fresh record high of 10.9% in March.
In Italy, official data showed that the unemployment rate unexpectedly jumped to 9.8% for March, the highest level since the current index began in 2004, from 9.3% the previous month.
Meanwhile, investors remained nervous ahead of the ECB’s policy meeting on Thursday as well as weekend elections in Greece and France.
Vestas Wind Systems plunged to a nine year low after announcing it needs to spend more cash on turbine maintenance.
Home Retail Group gave back 13% on annual profit falling 60% and eliminating its dividend.
Stocks are trading mixed in the U.S. with the Dow off 0.22%, the S&P 500 down 0.29% and the tech heavy Nasdaq bucking the downtrend up 0.09%.
Traders are awaiting the European central bank’s interest rate decision and press conference, as well as U.S. ISM numbers on Thursday.
At the close of European trade, the EURO STOXX 50 closed down 0.71%, France's CAC 40 traded higher by 0.42% and Germany’s DAX dropped 0.75%. Meanwhile, in the U.K. the FTSE 100 plunged 0.93%.
Igniting the risk off trade, U.S. payroll processing firm ADP reported non-farm employment increased by 119,000 in April, missing forecasts, after a 201,000 rise the previous month. Economists expected non-farm employment to rise by 178,000 in April.
In additional bearish news Wednesday, a government report indicated that factory orders in the U.S. declined 1.5% in March, in line with expectations and following a 1.1% rise the previous month.
Single currency sentiment weakened after final euro zone manufacturing data for April came in weaker-than-expected, with the manufacturing purchasing managers’ index slumping to a 34-month low of 45.9 in April, down from 47.7 in March and below the preliminary estimate of 46.0.
German manufacturing output dropped at the fastest rate since July 2009, with its manufacturing PMI tumbling to 46.2, from 48.4 in March, while a separate report showed that the German unemployment rate also increased last month.
Another economic report signaled that the unemployment rate in the euro zone climbed to a fresh record high of 10.9% in March.
In Italy, official data showed that the unemployment rate unexpectedly jumped to 9.8% for March, the highest level since the current index began in 2004, from 9.3% the previous month.
Meanwhile, investors remained nervous ahead of the ECB’s policy meeting on Thursday as well as weekend elections in Greece and France.
Vestas Wind Systems plunged to a nine year low after announcing it needs to spend more cash on turbine maintenance.
Home Retail Group gave back 13% on annual profit falling 60% and eliminating its dividend.
Stocks are trading mixed in the U.S. with the Dow off 0.22%, the S&P 500 down 0.29% and the tech heavy Nasdaq bucking the downtrend up 0.09%.
Traders are awaiting the European central bank’s interest rate decision and press conference, as well as U.S. ISM numbers on Thursday.