European Stocks Closed Lower On Virus Jitters, Growth Worries

(RTTNews) - European stocks closed broadly lower on Friday as worries about surging coronavirus cases across several parts of the region and fresh lockdown restrictions, and continued uncertainty about the pace of economic recovery weighed on sentiment.

Stocks regained some ground after a sharp setback, but still ended mostly lower.

In Spain, authorities have warned of tougher times as the country's cumulative tally of confirmed coronavirus infections passed 700,000 on Thursday.

The U.K. reported the highest number of new coronavirus cases in a single day since the start of the pandemic.

France also reported a record number of Covid-19 cases, a day after the government announced new restrictions on bars and restaurants in major cities.

The pan European Stoxx 600 edged down 0.1%. Germany's DAX slid 1.09%, France's CAC 40 shed 069%, while the U.K.'s FTSE 100, which tumbled to a four-month low at one stage, recovered to close 0.34% up. Switzerland's SMI edged up marginally.

Among other markets in Europe, Austria, Belgium, Finland, Greece, Portugal, Russia and Spain ended weak.

Czech Republic, Denmark, Ireland, Poland, Sweden and Turkey closed higher, while Iceland, Netherlands and Norway settled flat.

Travel-related stocks were falling again. In the UK market, Carnival gained more than 4.5% and Avast ended higher by about 4%. Centrica, ITV, Pearson, Meggit, United Utilities and National Grid also ended sharply higher.

Standard Chartered, Admiral Group, Smiths, Smurfit Kappa Group, J Sainsbury, Rolls-Royce Holdings and BHP closed lower by 1.6 to 3%.

In the German market, Thyssenkrupp ended more than 5% down. Lufthansa, BMW, Volkswagen, Deutsche Bank, Siemens, Bayer and Infineon Technologies also ended with sharp losses.

In France, Credit Agricole, Total and BNP Paribas lost 3.3 to 4.5%. Societe Generale, Peugeot, STMicroElectronics, Pernod Ricard and Renault declined 2 to 3%.

On the other hand, Safran and Veolia gained about 2.6% and 2%, respectively. Essilor, Sodexo and Atos also closed notably higher.

Data released by the Society of Motor Manufacturers and Traders showed UK car production declined sharply in August as ongoing coronavirus crisis stalled efforts to ramp up output. Output fell 44.6% on yearly basis in August, the data said.

Data from the Office for National Statistics said the UK budget deficit widened to the highest on record in August due to lower income and government's coronavirus relief schemes.

Meanwhile, UK consumer confidence improved in September despite fears of a second wave of coronavirus infections, survey data from the market research group Gfk showed. The consumer confidence index rose unexpectedly to -25 in September from -27 in August. The score was forecast to remain at -27.

A report from the European Central Bank said Eurozone money supply increased at a slower pace in August and credit to the private sector logged a steady growth.