By Carla Mozee and Victor Reklaitis, MarketWatch Technip
pursuing takeover deal of CGG
LONDON (MarketWatch) -- European stocks closed mostly lower
Thursday, pushed down following a fresh round of discouraging
economic data for the struggling region.
The November flash eurozone PMI composite output index -- which
tracks surveys from both the manufacturing and services sectors --
came in at 51.4, the lowest level in 16 months, according to data
compiled by Markit and released on Thursday.
That level was a pullback from 52.1 in October. A reading above
50 indicates expansion from the previous month, and a reading below
50 indicates contraction.
The PMI result indicates the eurozone's gross domestic product
likely rose by 0.1% to 0.2% in the fourth quarter, said Chris
Williamson, chief economist at Markit. New orders fell marginally,
in their first decline since July 2013, which suggests they will
slow further in December.
Policy makers at the European Central Bank "will no doubt be
disappointed that recent announcements and stimulus measures are
showing no signs of reviving growth," Williamson said. "The
deteriorating trend in the surveys will add to pressure for the ECB
to do more to boost the economy without waiting to gauge the
effectiveness of previously announced initiatives."
From Germany, the flash manufacturing PMI in November hit a
two-month low at 50.0, while France's manufacturing PMI hit a
three-month low at 47.6. Both sets of data, released Thursday,
missed expectations.
Markets: The Stoxx Europe 600 finished down 0.3%. The euro
(EURUSD) also dropped against the U.S. dollar, buying $1.2532,
compared with $1.2543 late Wednesday.
Earlier Thursday, HSBC's closely watched report on Chinese
manufacturing activity showed slowing in November, adding to
worries about growth for a key buyer of metals. European mining
stocks dropped, with Rio Tinto PLC (RIO), BHP Billiton PLC (BHP)
and Anglo American PLC all enduring losses of more than 2%.
Elsewhere in the market, shares of Technip SA stumbled 7%, after
the French oil-services company made a preliminary cash takeover
offer of EUR1.46 billion ($1.83 billion) for CGG
You're invited: A free evening event focusing on investing
opportunities in Europe
Will you be in London on Dec. 3? Then you're invited to our
MarketWatch Investing Insights event, "The worse Europe gets, the
more you should invest."
Governments are in trouble, reform efforts have stalled,
unemployment is climbing. the news from the eurozone is bleak. And
investors are fleeing. But that's a mistake: The worse the economic
data from Europe get, the more you should be buying. Why? Because
actions by the ECB will boost asset prices and the stock market in
particular. And, big exporters can grow sales. Lower costs and
steady sales translate into higher profits and dividends. Join us
for an evening of cocktails and conversation to explore these
opportunities.
Our panel will be led by MarketWatch Columnist Matthew Lynn, a
renowned financial journalist based in London and the author of
"Bust: Greece, the euro and the Sovereign Debt Crisis." He'll be
joined by Mark Hulbert, MarketWatch columnist and editor of the
Hulbert Financial Digest.
This event is free, but RSVPs are required. It will be held
Wednesday evening, Dec. 3, in London. For more information or to
RSVP, send an email to marketwatchevent@wsj.com.
Subscribe to WSJ: http://online.wsj.com?mod=djnwires