ROME: European stocks drifted lower Thursday following mixed manufacturing reports from the eurozone, including a figures pointing to slowing output growth in Germany, Europe’s largest economy.
The Stoxx 600 SXXP, -0.02% shed 0.2% to 405.79, with the consumer-goods, financial, and industrial sectors among those losing ground. But energy SXEP, +0.62% and basic materials shares were outperforming the broader market.
Also outperforming was Booker Group PLC BOK, +9.74% with shares jumping 10% after the food wholesaler said it will return a further 62 million pounds ($96.24 million) to shareholders following a rise in fiscal 2015 earnings.
Germany’s DAX 30 DAX, -0.27% fell 0.4% to 11,803.52 after data firm Markit said its flash reading on May manufacturing and services activity in Germany fell to a five-month low, to 52.8. The manufacturing purchasing managers’ index fell to a three-month low, to 51.4. Analysts polled by FactSet had been looking for a 52 reading for the manufacturing PMI.
France’s CAC 40 PX1, -0.31% lost 0.2% to 5,121.96. France’s manufacturing activity improved in May, with Markit’s PMI reaching a 12-month high at 49.3
Overall, the eurozone composite PMI — a measure of activity in the manufacturing and services sectors — fell to 53.4 in May from 53.9 in April, a three-month low.
The euro EURUSD, +0.6489% still held to higher ground after the PMIs, rising to $1.1157 from $1.1096. The shared currency advanced against the greenback after minutes released late Wednesday from the U.S. Federal Reserve’s April meeting showed only a “few” policy makers thought the U.S. economy would show enough strength to justify an interest-rate increase in June.
Minutes from the European Central Bank’s meeting in April are due for release at 12:30 p.m. London time, or 7:30 a.m. Eastern Time.
