By Sara Sjolin, MarketWatch
DAX on track for a 22.8% gain for the quarter
LONDON (MarketWatch) -- European stock markets were sent on a
roller-coaster ride Tuesday morning after eurozone jobs data showed
unemployment this year is higher than previously expected.
The main benchmarks, however, stayed on track to log their best
quarterly gains in years, with Germany's DAX 30 index eyeing its
best quarter since 2003.
The Stoxx Europe 600 index was up 0.2% at 400.44, just a few
points shy of its all-time closing high of 405.50, hit in March
2000. The index traded as high as 401.75 earlier in the day, but
started to pare its gain after the arrival of a mixed bag of
eurozone data.
The eurozone inflation rate improved in March to negative 0.1%
from negative 0.3% the previous month, easing fears of deflation
(http://www.marketwatch.com/story/eurozone-deflation-fears-ease-as-price-fall-slows-2015-03-31)
in the currency union. But the eurozone unemployment rate for
February came in at 11.3%, higher than the forecast of 11.2%.
The joblessness rate for January was also revised up to 11.4%,
from 11.2% reported previously.
For the quarter, the pan-European benchmark was on track for a
16.8% jump, which would mark its best quarterly gain since the
17.8% rally logged in the third quarter of 2009.
Other markets: Germany's DAX 30 index fell 0.4% to 12,041.66,
shaking off an earlier boost it got from German labor data. That
report showed unemployment dropped to a record low of 6.4% in
March, down from 6.5% in February.
For the quarter, the benchmark was heading for a 22.8% rise,
which would mark the strongest three-month gain since the second
quarter of 2003.
France's CAC 40 index erased 0.2% to 5,078.04, while the U.K.'s
FTSE 100 index slipped 0.6% to 6,848.92.
Data: France reported that consumer spending for February rose
0.1% on the month
(http://www.marketwatch.com/story/french-consumer-spending-rises-in-february-2015-03-31-34855936)
and 3% on the year, bang in line with forecasts by economists
polled by The Wall Street Journal.
The U.K. economy grew at a faster-than-expected pace in 2014,
confirming that the country was the top growth performer in the
Western world
(http://www.marketwatch.com/story/uk-top-performing-in-west-as-2014-gdp-revised-up-2015-03-31)
last year. Gross domestic product for the full year was revised up
to 2.8%, from 2.6% reported previously.
Greece reform impasse: The anti-austerity government in Athens
and Greece's international lenders were still struggling to reach a
reform agreement, which is needed to unlock the next tranche of
bailout funds for the struggling country.
Greek Prime Minister Alexis Tsipras told Greece's parliament
late Monday they would not give in unconditionally to the economic
overhauls demanded by its creditors. Greece is at risk of running
out of cash in April unless it receives fresh funding.
Movers: Shares of Kingfisher PLC jumped 4.2% after the
do-it-yourself retailer said it will close about 60 stores in its
U.K. chain B&Q
(http://www.marketwatch.com/story/kingfisher-net-profit-falls-will-close-stores-2015-03-31)and
its "few loss-making stores" in Europe.
Raiffeisen Bank International AG climbed 4.7% after J.P. Morgan
Cazenove lifted the Austrian lender to overweight from neutral.
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