European Shares Recover After Early Slide

European stocks struggled for direction on Friday as market focus shifted to Eurozone Q4 GDP data and the all-important February U.S. jobs report due later in the day.

Germany’s industrial production expanded in January, figures from Destatis showed earlier today.

Industrial production posted a monthly growth of 1.0 percent, in contrast to the 2.0 percent fall in December. Output was expected to climb 0.6 percent.

Elsewhere, France’s trade deficit increased at the start of the year as exports fell faster than imports, data released by the customs office showed.

The trade deficit widened more-than-expected to EUR 7.4 billion in January from EUR 6.4 billion in December.

The pan European STOXX 600 was up 0.1 percent at 503.76, reversing initial losses after European Central Bank policymaker Francois Villeroy de Galhau said that the central bank will likely cut interest rates in April or June.

The German DAX was down 0.2 percent and the U.K.’s FTSE 100 slipped 0.1 percent while France’s CAC 40 was marginally higher.

British packaging firm Mondi gave up more than 2 percent as it announced an agreement in principle for a potential all-share offer to acquire its smaller rival DS Smith for £5.14bn. DS Smith shares soared 7 percent.

Electrical and telecommunications retailer Currys dropped 1.2 percent after it confirmed the sale of its business in Greece and Cyprus for around £156 million.

Information services provider Informa advanced 1.3 percent after underlying revenue grew 30 percent in 2023.

HelloFresh SE shares slumped 43 percent as the German meal-kit maker cut its 2024 core earnings forecast for the second time in five months and dropped its midterm targets.

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