The closing of European stock markets on Friday reflected a predominantly negative trajectory, with The Stoxx Europe 600 declining by 0.38%. Significant losses were noted in Germany, where the DAX fell sharply by 1.79%. Meanwhile, the FTSE 100 in London saw a minor decrease of 0.03%, and France's CAC 40 also faced a drop of 0.94%.
In contrast, the Swiss Market Index showcased resilience, rising by 0.36%. In terms of economic performance, Eurostat reported a seasonally adjusted GDP increase of 0.2% in Q4 for the euro area, with a slightly more robust growth of 0.4% in the EU compared to Q3. Year-over-year figures reveal that the seasonally adjusted GDP rose by 1.2% in the euro area and 1.4% in the EU.
For the entire year of 2024, GDP growth reached 0.9% in the euro area and 1.0% in the EU, indicating a cautious but steady economic recovery. However, not all sectors are faring well; in Germany, the preliminary data from the Federal Statistical Office indicated a staggering 7% decline in price-adjusted incoming orders within the manufacturing sector in January when compared to December.
This alarming drop points to potential concerns about future production and economic stability. Across the English Channel, housing market indicators also suggest stagnation. According to the Halifax House Price Index, the average house price in the UK slipped 0.1% lower in February compared to January.
Annual growth remained stagnant at 2.9%, with an average decline of just £213 ($275), bringing the average house price down to £298,602. Analysts were predicting a slightly more optimistic growth rate of 3.1%, as reported by Bloomberg. In corporate news, AstraZeneca announced on Friday promising outcomes from a phase 3 trial assessing Imfinzi in conjunction with standard chemotherapy protocols for treating certain gastric cancers.
The trial successfully met its primary endpoint regarding event-free survival. Additionally, preliminary analyses of the secondary endpoint revealed a 'strong trend' favoring the Imfinzi-based regimen regarding overall survival, hinting at potential implications for future treatment protocols. Meanwhile, Italian oil and gas titan Eni has entered into negotiations, receiving non-binding bids for a minority stake in its carbon capture and storage division from five entities, according to reports from Reuters referencing insider sources.
Eni, alongside HitecVision and Snam, remained tight-lipped when approached for commentary, while responses from Global Infrastructure Partners, Macquarie, and PTTEP were not forthcoming. On the labor front, Lloyds Banking Group is making headlines with its plan to recruit hundreds of IT engineers in India while simultaneously downsizing a comparable number of positions in the UK.
The Financial Times highlighted that Lloyds Banking expects to augment its workforce by adding 4,000 permanent tech and data professionals in India by year-end. A request for comment from MT Newswires regarding Lloyds Banking's strategy went unanswered..