European Shares Mixed Amid Growth Worries; FTSE 100 Rises As Food Prices Fall
European stocks were broadly lower on Tuesday as inflation and interest-rate worries persisted.
U.K. stocks were seeing modest gains on the back of a weaker pound and industry data showing lower growth in shop prices in September.
The British Retail Consortium said shop prices rose an annual 6.2 percent last month from 6.9 percent in August, its lowest rate since September 2022.
Food price inflation fell for the fifth month in a row to 9.9 percent from 11.5 percent and was down for the first time in more than two years on a monthly basis.
The pan European STOXX 600 was marginally lower at 445.25 after falling around 1 percent to reach a six-month low on Monday.
The German DAX slid 0.2 percent and France’s CAC 40 eased 0.1 percent while the U.K.’s FTSE 100 was up 0.3 percent.
The euro traded lower as investors weigh an uncertain economic outlook.
Rising wages in the euro zone are underpinning inflation in the bloc but wage growth will likely moderate in the coming months, ECB chief economist Philip Lane told an event in the Lithuanian capital Vilnius earlier today.
In corporate news, Swiss construction chemicals maker Sika AG rose about 1 percent after raising its annual sales growth target.
Fashion retailer Boohoo Group plunged 10 percent in London after it reported a wider pre-tax loss for the first half of 2023, amidst a decline in revenue reflecting a fall in demand. In addition, the company has revised down its full-year 2024 guidance.
Petrofac gained about 1 percent after the oil services firm bagged a contract worth more than $600 million from ADNOC Gas for the Habshan carbon capture and storage project.
Retailer Kingfisher dropped 1 percent after an announcement that it is launching the first tranche of 300 million pounds share repurchase drive, now buying back 50 million pounds of shares.
Greggs tumbled 3 percent. The bakery chain said it has no plans to raise prices before Christmas.
Drug maker Sanofi rose 1 percent in Paris after it has entered into an agreement with Janssen Pharmaceuticals, Inc., a Johnson & Johnson company, for the development of Janssen’s extraintestinal pathogenic E. coli vaccine candidate (ExPEC9V).
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