In a notable turn in Thursday trading, European stock markets closed on a positive note. The Stoxx Europe index rose by 0.61%, while Germany's DAX gained 0.48%. The FTSE in London advanced by 1.07%, France's CAC increased by 0.18%, and the Swiss Market Index closed 0.1% higher, reflecting a general investor optimism despite some mixed signals in economic indicators.
According to the HCOB Eurozone Manufacturing Purchasing Managers' Index (PMI), which serves as a barometer for the overall health of factories within the eurozone, a slight decline was observed. The PMI fell to 45.1 in December from 45.2 in November, indicating that the health of the manufacturing sector is still below the critical threshold of 50.0 that separates contraction from expansion.
This marked the 13th consecutive month where the index has languished beneath this pivotal level, raising concerns among investors and economists alike. However, amidst these figures, Spain and Greece exhibited a glimmer of hope with PMI readings of 53.3 and 53.2 respectively, solidifying their positions within the expansion territory.
On the contrary, Germany and France faced substantial setbacks, registering significantly lower figures of 42.5 and 41.9—marking Germany's lowest PMI in three months and France's lowest in over a year. Shifting focus to the UK, the manufacturing sector continued to struggle towards the end of 2024, with the seasonally adjusted S&P Global UK Manufacturing PMI declining to an 11-month low of 47.0 in December from 48.0 in November.
The UK’s PMI has remained below the crucial 50-point threshold for three consecutive months, thus highlighting ongoing challenges faced by British manufacturers. In the corporate sector, British oil and gas giant BP announced that the first phase of the Greater Tortue Ahmeyim liquefied natural gas project, located offshore Mauritania and Senegal, has commenced natural gas flow.
This initiative is anticipated to produce approximately 2.3 million tons of LNG annually once it is fully operational, signaling a significant advancement for BP in its energy endeavors. Adding to the wave of corporate news, Norwegian petroleum refiner Equinor disclosed that it has secured a remarkable financing package exceeding $3 billion for its Empire Wind 1 project based in New York.
Expected to begin commercial operations in 2027, this wind farm project aims to supply renewable energy to around 500,000 homes across New York, underscoring the growing commitment towards sustainable energy solutions. Additionally, TC BioPharm, a British biopharmaceutical company, reported that discussions with its acquisition targets are making headway.
The company seeks to expand its therapeutic platform through strategic acquisitions that emphasize new therapeutic indications and cell therapies. Such endeavors reflect the company's forward-thinking approach in adapting to evolving healthcare needs..