European Stocks Close Mostly Lower On Weak Economic Data

European stocks ended lower on Friday, weighed down by disappointing German exports data and a report showing weaker than expected job growth in the U.S. in the month of September.

The pan European Stoxx 600 declined 0.28%. Germany's DAX ended down by 0.29% and France's CAC 40 slid 0.61%, while the U.K.'s FTSE 100 advanced 0.25%. Switzerland's SMI closed flat. The FTSE 100 gained about 1% in the week, while CAC 40 and DAX added 0.6% and 0.4%, respectively.

Among other markets in Europe, Belgium, Denmark, Ireland, Netherlands, Portugal and Sweden drifted lower.

Austria, Finland, Greece, Norway, Poland and Russia closed higher, while Czech Republic, Iceland, Spain and Turkey ended flat.

Travel stocks traded mostly higher in London after the government announced it will scrap tough COVID-19 quarantine requirements for 47 destinations.

However, TUI Group shares plunged nearly 16%. The travel company unveiled plans to raise more than 1 billion euros in capital in order to help pay off more than substantial state-backed loans taken during the pandemic.

Aveva Group shares declined 3.25% and Mondi shed about 2.2%. Spirax-Sarco Engineering, Smurfit Kappa Group, RightMove, St. James Place, Scottish Mortgage, Burberry Group and Severn Trent ended lower by 1 to 1.6%.

BP, Royal Dutch Shell, Standard Chartered, IAG, Rolls-Royce Holdings, Kingfisher, Whitbread, Imperial Brands, Anglo American Plc, IHG, Pershing Square Holdings and Antofagasta gained 1 to 2.6%.

In the French market, Veolia, STMicroElectronics, Dassault Systemes, Essilor, Danone, Schneider Electric, WorldLine, Capgemini, LVMH, Hermes International and Legrand lost 1 to 2.3%.

Technip gained more than 5.5%, Faurecia climbed nearly 4.5% and Valeo ended up by about 3.5%. Renault, Accor, Saint Gobain, Unibail Rodamco and Safran gained 1.4 to 2.3%.

In Germany, Sartorius tumbled nearly 5%. HelloFresh, RWE, E.ON, Puma, Adidas, Deutsche Post, Vonovia and Linde ended lower by 1 to 3%.

Continental, Daimler, BMW, Fresenius, Covestro and MTU Aero Engines gained 1 to 3.2%.

German exports decreased 1.2% month-on-month in August, in contrast to the 0.6% rise in July, Destatis reported. Economists had forecast a monthly growth of 0.5%.

At the same time, imports rebounded 3.5%, following a 3.6% fall in the previous month. The trade surplus declined to a seasonally adjusted EUR 13.0 billion from EUR 17.7 billion a month ago.

Investors also noted that Ireland has relinquished its opposition to new global corporate tax rules, agreeing to forego its 12.5% tax for large multinational corporations in a key development for efforts to install a worldwide minimum rate of "at least" 15%.

Data released by the Labor Department showed non-farm payroll employment rose by 194,000 jobs in September after climbing by an upwardly revised 366,000 jobs in August. Economists had expected employment to jump by 500,000 jobs compared to the addition of 235,000 jobs originally reported for the previous month.

Despite the much weaker than expected job growth, the unemployment rate fell to 4.8% in September from 5.2% in August. The unemployment rate was expected to edge down to 5.1%. With the bigger than expected expected decrease, the unemployment rate dropped to its lowest level since hitting 4.4% in March of 2020.

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