European stock markets faced a downturn on Friday, with the Stoxx Europe index sinking 0.66%. Germany's DAX index dropped by 0.81%, while the FTSE in London lost 0.84%. France's CAC fell by 1.17%, and the Swiss Market Index closed 1% lower. Despite this decline, the seasonally adjusted services production in the euro area saw an increase of 0.4% in August compared to July.
Year-over-year, services production rose by 2.0% in the euro area and 2.2% in the EU, according to first estimates from Eurostat, the statistical office of the EU. In the UK, the October KPMG and REC's UK Report on Jobs survey, conducted by S&P Global, revealed ongoing drops in both permanent and temporary job placements during the month.
This was noted as the steepest decline since March, attributed to reduced demand and hiring freezes. On the corporate side, shares of Vistry Group experienced a sharp decline of nearly 16% on the FTSE after the British homebuilder adjusted its fiscal 2024 forecast downwards, predicting completed houses at 17,500, down from previous guidance exceeding 18,000. Additionally, Stellantis announced plans to lay off about 1,100 employees at its Jeep Gladiator plant in Ohio, effective January 5, as part of efforts to enhance efficiency and manage high inventory levels, according to a statement made to MT Newswires..