European Stocks Close Lower On Growth Worries

European stocks closed broadly lower on Thursday with disappointing earnings from some European and U.S. companies, and concerns about global economic slowdown after weak data from China and Japan, weighing on sentiment.

The pan European Stoxx 600 fell 0.72%. The U.K.’s FTSE 100 lost 1.01% and France’s CAC 40 drifted down 0.57%. Germany’s DAX ended 0.24% up, extending gains to a fourth straight session. Switzerland’s SMI lost 0.61%.

Among other markets in Europe, Austria, Belgium, Finland, Netherlands, Norway, Portugal, Russia and Sweden ended higher.

Iceland, Spain and Turkiye closed higher, while Denmark, Greece and Poland ended flat.

In the UK market, Burberry Group tanked more than 10% after the luxury fashion brand warned that it might not meet its full-year revenue growth target for fiscal 2024.

Hargreaves Lansdown ended 5.8% down, and Smurfit Kappa Group drifted down 4.3%.

JD Sports Fashion Group, Mondi, Ds Smith, Royal Mail, BP, Royal Dutch Shell, WPP, St. James’s Place, Kingfisher, Prudential and Scottish Mortgage ended lower by 2 to 3.5%.

Halma rallied nearly 4% after posting record first-half results. National Grid advanced 2%, while SSE, Vodafone, Experian and Centrica gained 0.9 to 1.5%.

City Pub Group shares skyrocketed nearly 35% in London after the company agreed to be acquired by Young & Co.’s Brewery, Plc (YNGA.L), a British managed operator of premium pubs and bedrooms.

In the German market, Puma ended more than 4% down. Zalando ended nearly 4% lower. BASF, Siemens Energy, BMW, Volkswagen, Adidas, Continental, Sartorius, Mercedes-Benz, Bayer, Daimler Truck Holding and Porsche lost 1 to 2.6%.

Hellofresh shares plunged more than 22%. The German meal kit delivery company lowered its adjusted earnings expectations for the year and narrowed its revenue growth outlook.

Siemens climbed nearly 6% after posting fourth-quarter profit ahead of expectations. E.ON gained about 1.85% and Infineon advanced 1.25%.

In Paris, WorldLine ended down 2.75%. Kering, TotalEnergies, Edenred, LVMH, Stellantis, Unibail Rodamco, Renault and ArcelorMittal lost 1 to 2.6%.

Alstom surged 4.5%. Sanofi, Capgemini, Engie and Publicis Groupe gained 1 to 1.6%.

Swedish games developer Embracer Group soared nearly 13% after delivering better-than-expected quarterly earnings and confirming its annual forecast.

In European economic news, data from Eurostat showed the euro area trade surplus decreased in September as exports declined amid rising imports. The seasonally adjusted trade surplus declined to EUR 9.2 billion from EUR 11.1 billion in the previous month.

Exports decreased 9.7% from a month ago, while imports grew 0.5% in September. On an unadjusted basis, the trade balance posted a surplus of EUR 6.5 billion compared to a deficit of EUR 36.3 billion in the same period last year.